Mass Production: Are Apple's Foldable iPhones at Risk?

Apple has encountered problems in the engineering test phase of development for a foldable iPhone. 

Nikkei Asia reported that a person familiar with the matter said: “The current situation could put the mass production timeline at risk.” 

While Apple has not yet made an official announcement about the phone, it has been widely reported that it is in development.

These engineering challenges in Asia come at a time when Apple is investing heavily in US manufacturing, having announced investments of more than US$600bn in the last year. 

Engineering delays

Some of Apple’s component suppliers have been notified that there is a possibility the component production schedule for the foldable iPhone will be pushed back, Nikkei Asia reported, according to multiple sources familiar with the matter. The report says this did not affect all component suppliers. 

One of the people familiar with the matter told Nikkei Asia: "It's true that more issues than expected have emerged during the early test production phase, and additional time will be needed to resolve them and make necessary adjustments. The current situation could put the mass production timeline at risk.” 

Another person with knowledge of the situation said to Nikkei Asia that the potential schedule delay has nothing to do with the components and materials crunch, but is more about the engineering challenges of Apple’s first foldable iPhone.

"Apple and the supply chain are working under a pressured timeline and the current solutions are not enough to completely solve the engineering challenges. More time is needed," the person added.

Apple’s manufacturing in China

Much manufacturing activity for iPhone’s takes place at the Foxconn iPhone factory in Zhengzhou.

Taiwan’s Foxconn is a key Apple supplier in the region. It assembles the majority of iPhone’s sold globally, according to the Financial Times. 

Counterpoint Research estimated in 2025 that 80% of Apple’s iPhone’s are made in China, while the remaining 20% are made in India. 

Apple has planned to initially produce about seven to eight million foldable iPhones, according to Nikkei Asia's checks with industry managers and market experts.

US manufacturing

Apple has started to move large parts of its manufacturing operations to the US. As part of Apple’s American Manufacturing Programme, Apple has invested more than US$600bn in American manufacturing including in sites in Carolina, California, Iowa, Oregon and Texas. 

Tim Cook, Apple’s CEO, said when announcing an increased investment: “We’re proud to increase our investments across the United States to US$600bn over four years and launch our new American Manufacturing Program.

“This includes new and expanded work with 10 companies across America. They produce components that are used in Apple products sold all over the world, and we’re grateful to the President for his support.”

It has also significantly expanded its factory operations in Houston, bringing production of the Apple’s Mac mini to the US. 

This shift came after Apple were called out by name by US President Donald Trump in May 2025 in a post on Truth Social that threatened a 25% tariff if iPhone manufacturing was not moved to the US. 

So far, there has been no suggestion that the Apple iPhone will be made directly made in the US. However, some components such as glass for iPhone's are set to be made in the US.

According to CNBC, Apple has spent more than US$3bn on tariffs since President Trump enacted his trade policies.