(Yicai) April 7 -- Chinese Apple supplier Hon Hai Precision Industry, better known as Foxconn, has begun trial production of the US tech giant's first foldable iPhone, China Securities Journal reported.

Apple has guided suppliers toward a second-half launch for the foldable phone, according to the report, citing multiple supply chain sources.

The large user base of Apple points to strong potential demand for a foldable iPhone, though sales will ultimately depend on the price, one of the sources stressed.

Lens Technology has provided ultra-thin glass, polyethylene terephthalate film, glass brackets, and three-dimensional glass covers for the foldable iPhone, the Changsha-based precision manufacturing firm said at a recent investor briefing. The company expects to benefit significantly from this high-value project in which it holds a leading share, it noted, adding that production ramp-up is on schedule ahead of the second-half launch.

The new product would require more components, including higher manufacturing standards for some, said Avary Holding, a printed circuit board supplier for Apple. However, it declined to comment further because the foldable iPhone has not yet hit the market.

In mid-2025, Lingyi iTech Guangdong said that it had achieved a major breakthrough in a high-end vapor chamber project with its key North American client regarding foldable devices.

China's Foldable phone shipments rose 9.2 percent to around 10.01 million units last year from the previous year, according to International Data Corporation.

Apple's entry would push the foldable phone market into a new phase of competition this year, with early demand likely to come primarily from existing iPhone users, given the premium positioning of such devices, Counterpoint Research noted.

The first foldable iPhone is poised to accelerate broader adoption in the market, Guosheng Securities said. Continued advances in crease-free display technology would drive up the volume and price of such phones, injecting new momentum into the supply chain, it added.

Editor: Martin Kadiev