Foxconn Technology Group emerged as the primary beneficiary of Apple’s iPhone 17 launch, securing approximately 60% of manufacturing orders for the new smartphone series unveiled this week. The Taiwanese electronics giant, formally known as Hon Hai Precision Industry, is ramping up production at its Chinese facilities to meet demand for Apple’s four new models launching September 19.
The company has intensified recruitment efforts at its Zhengzhou and Shenzhen plants, offering competitive wages and bonuses to attract workers. At the Zhengzhou facility — dubbed “iPhone City” — Foxconn is deploying approximately 200,000 workers in two-shift operations, with return bonuses for temporary workers reaching 9,000 yuan (US$1,250) for completing three-month contracts.
Taiwan Semiconductor Manufacturing Co. and optical lens maker Largan Precision also stand to benefit as key suppliers for the iPhone 17 series, which includes the standard iPhone 17 at $799, the ultra-thin iPhone Air at $999, and Pro models starting at $1,099 — representing a $100 increase from the previous generation.
However, investor enthusiasm remained muted following Apple’s Tuesday launch event. Apple shares fell 1.5% to $234.35, with Taiwan’s Largan Precision declining 1.3% and China’s Lens Technology dropping 1.5%.
The stock declines reflect market concerns about Apple’s decision to absorb an estimated $1 billion in tariff costs rather than passing them to consumers through higher prices on most models. Analysts suggest this strategy could pressure profit margins, particularly as the company navigates ongoing trade tensions between the US and China.
CEO Tim Cook called the launch “the biggest leap ever for iPhone”, highlighting the introduction of the iPhone Air as the world’s thinnest smartphone at 5.6mm. The device features a titanium frame and represents Apple’s first major design overhaul in years, though critics noted the incremental nature of overall improvements.
The production surge comes as Apple continues diversifying its manufacturing base beyond China. While Foxconn maintains its dominant position in iPhone assembly, the company has also expanded operations in India, where it now produces devices for the US market.
For Taiwanese suppliers, the iPhone 17 cycle represents a crucial test of their ability to maintain market share amid intensifying competition and geopolitical pressures. The companies must balance production scaling with cost management as Apple seeks to preserve margins while navigating an increasingly complex global trade environment.
