Apple foldable iPhone nears mass production as Foxconn hires at RMB26

Apple's foldable iPhone Ultra is entering mass production, mobilizing Foxconn's assembly lines and a Chinese supply chain that includes LENS for display glass and Luxshare for hinge technology.

Apple Inc.'s first foldable device is nearing mass production, with Foxconn hiring temporary workers at RMB22 to RMB26 an hour through October to staff assembly lines for the iPhone Ultra, according to Lanjing Finance citing sources.

The device, expected to launch as the iPhone Ultra, will feature a 7.7- to 7.8-inch foldable inner display alongside a 5.3- to 5.5-inch outer screen, replacing Face ID with a Touch ID-enabled power button, per earlier reports from MacRumors. Apple has raised its production target to 10 million units with a price point around $2,500, according to TechRepublic.

LENS Technology Co. (300433.SZ), the Shenzhen-listed supplier, will provide the UTG ultra-thin flexible glass cover plate — the outermost protective layer of the foldable screen. Foxconn, Apple's primary assembly partner, has entered full production preparation mode, recruiting temporary workers, summer workers and hourly staff for a three-month period from July to October. The factory is also hiring full-time employees with a base salary of RMB2,600 during probation and RMB2,950 after confirmation, plus overtime pay, performance bonuses and night-shift subsidies. Temporary workers can start immediately without medical examinations, indicating urgency in ramping capacity.

Luxshare Precision Industry Co. (02475.HK) is actively developing hinge technology and intends to enter Apple's supply chain for subsequent foldable models, sources said.

Supply Chain Mobilization

The hiring spree at Foxconn's facilities suggests Apple expects high initial demand for its first foldable form factor. The RMB22 to RMB26 hourly rate for a three-month commitment through October aligns with the typical pre-launch manufacturing window for a device expected to debut in the second half of 2026.

LENS's selection as the UTG glass supplier marks a significant win for the Chinese manufacturer, which competes in the display cover glass market against Samsung's Dowoo Insys and others. UTG is a critical component in foldable displays, determining crease visibility, durability and touch sensitivity. The foldable smartphone market, led by Samsung with a 60 percent share in 2025 per IDC data, remains a small but fast-growing segment where Apple's entry could reshape competitive dynamics.

Luxshare's hinge development program positions it to challenge existing suppliers in Apple's foldable supply chain for future generations. Hinge mechanisms remain the most failure-prone component in foldable devices, with Samsung's early Galaxy Fold models experiencing screen failures at the hinge junction.

Investment Impact

Apple shares, trading at roughly 30 times forward earnings, have limited direct exposure to the foldable ramp in the near term. But LENS (300433.SZ) and Luxshare (02475.HK) stand to benefit from supply chain orders, with LENS gaining a marquee customer for its UTG product line. Foxconn's parent Hon Hai Precision Industry Co. will capture assembly revenue, though margins on iPhone assembly remain thin at an estimated 3 percent to 5 percent.

The key question is whether Apple's foldable can replicate the iPhone X's success in creating a new premium tier. The iPhone X, launched in 2017 at $999, drove a supercycle that pushed Apple's market capitalization past $1 trillion. At $2,500, the iPhone Ultra targets a narrower addressable market, but the 10-million-unit production target suggests Apple expects sufficient demand from its installed base of more than 1 billion active iPhones.

This article is for informational purposes only and does not constitute investment advice.