Apple is reportedly testing DRAM memory chips from ChangXin Memory Technologies (CXMT), a Chinese state-backed manufacturer. CXMT was added to the US Department of Commerce's Entity List in late 2024, meaning American companies generally require special licenses to supply CXMT with US technology. This move by Apple is seen as an attempt to diversify its supply chain, reduce costs, and lessen vulnerability to disruptions, as CXMT chips are reportedly cheaper than those from its current suppliers, Samsung, SK Hynix, and Micron.
However, this exploration by Apple creates political complexities, particularly given recent reports of the Trump administration's efforts to boost domestic chip manufacturing. In August 2025, Apple CEO Tim Cook reportedly lobbied the Trump administration to avoid proposed 100 percent tariffs on semiconductor imports. During these discussions, President Trump and Commerce Secretary Howard Lutnick reportedly pushed Cook to use Intel's fabrication plants for some of Apple's chips. This agreement was linked to Apple securing an exemption from the tariffs and committing to significant US investments.
The potential deal with CXMT stands in contrast to the administration's push for "Made in America" chips, exemplified by the reported pressure on Apple to utilize Intel's facilities. The US government also became Intel's largest shareholder last year with a 10 percent equity stake after converting $9 billion in federal grants. If Apple proceeds with CXMT, it could signify a challenge to US supply chain policies, setting a precedent for other American companies facing similar restrictions. Apple has reportedly lobbied the US government for permission to test these chips.
For now, CXMT chips are not in any shipping Apple products, and the testing phase, government approvals, and finalization of supply agreements could take a year or longer. The financial impact for Apple could be substantial, as even minor cost savings per chip, when scaled across hundreds of millions of devices, could amount to hundreds of millions of dollars.
