President Donald Trump announced Thursday that Apple has agreed to partner with Intel to design and manufacture computer chips in the United States, a move that could mark a significant shift in the tech giant’s supply chain strategy.

In a post on Truth Social, Trump stated that Apple would work with Intel on developing and producing chips domestically, highlighting the arrangement as a boost for American manufacturing.

The announcement follows a report by The Wall Street Journal in May indicating that Intel and Apple had reached a preliminary agreement under which Intel would produce certain chips for Apple. According to the report, negotiations between the two companies had stretched on for more than a year before a tentative deal was reached.

Neither Apple nor Intel immediately responded to requests for comment from Reuters after normal business hours.

For Apple, a partnership with Intel could provide greater flexibility and reduce its dependence on a single supplier as demand for advanced semiconductors continues to surge.

The company currently relies heavily on Taiwan Semiconductor Manufacturing Company (TSMC), whose cutting-edge fabrication facilities are also being used extensively by artificial intelligence chip leaders such as Nvidia and AMD. By adding Intel as a manufacturing partner, Apple would gain additional production capacity while broadening its supply chain footprint.