Apple supply chain momentum is here!

In early trading today, after the market opened lower, Apple supply chain stocks collectively surged. Anjie Technology and Chaoyang Technology hit daily limit ups, with multiple stocks performing strongly. Industrial Fulian even hit the limit up yesterday. The Apple supply chain concept sector significantly outperformed both the broader market and the ChiNext board, rising as much as 1.39% in morning trading.

On the news front, reports indicate that Apple's iPhone 17 has entered the mass production stage. Foxconn, as Apple's main contract manufacturer for iPhones, is conducting peak season recruitment at its Zhengzhou facility. Meanwhile, Apple is expanding iPhone production scale in India through five factories to supply new models for the US market, including two newly operational factories.

So what impact will the iPhone 17 have on the supply chain? Renowned Apple supply chain analyst Ming-Chi Kuo previously revealed that the iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max will all be equipped with 12GB of RAM. According to research reports, the iPhone 17's major redesign combined with more comprehensive AI features is expected to further boost sales.

**Apple's Major Move**

Informed sources reveal that before the next-generation model release, Apple has begun producing all four iPhone 17 series models in India, marking the first time all new models, including Pro-level devices, will be shipped from India from the initial launch period. Simultaneously, reports indicate that Apple's iPhone 17 has entered the mass production stage. Foxconn, as Apple's main iPhone contract manufacturer, is conducting peak season recruitment at its Zhengzhou facility.

With the iPhone 17 launch imminent, various leaks are emerging.

According to social media leaks, Apple has notified suppliers to stop ordering camera control button components, meaning the iPhone 17 series may be the last to feature this design. In the iPhone 16 series, this button is located below the power button and can quickly launch the camera and control multiple shooting functions. Reports suggest Apple discovered through research that users utilize this button infrequently and its functionality still needs refinement. Eliminating this design could not only optimize user experience but also appropriately reduce costs.

Additionally, authoritative leaker Majin Bu exposed the SIM card slot of an iPhone 17 Pro engineering unit, confirming Apple still retains physical SIM card structure internally to ensure normal market entry in countries and regions that don't support eSIM.

Since the iPhone 14 series, Apple began eliminating SIM card slots across all models in the US market, fully transitioning to eSIM. When Apple released the iPhone 14 series in 2022, it stated that eSIM is more secure than physical SIM because even if an iPhone is stolen, the SIM card cannot be physically removed, essentially preventing network disconnection - as long as the device powers on, it uploads location data.

Reports suggest this year's iPhone 17 series differs most significantly from previous years in that Apple will replace the Plus model with an ultra-thin iPhone 17 Air. From current leaks, the iPhone 17 Air will be only 5.5mm thick, weighing around 145g, with a 6.6-inch screen size.

However, none of the above leaks have been officially confirmed by Apple.

**Apple Supply Chain Explosion**

In early trading today, the Apple supply chain significantly outperformed the broader market.

Individual stocks also surged collectively. Kesen Technology, Chaoyang Technology, Anjie Technology, and San'an Optoelectronics hit daily limits, while Lens Technology and GoerTek performed strongly. In Hong Kong markets, Sunny Optical surged over 6%.

From an industry perspective, the global smartphone market in Q2 2025 showed asynchronous growth between revenue and shipment volume. Revenue first exceeded $100 billion, growing 10% year-over-year, while shipments increased only 3%. Global smartphone average selling price (ASP) rose 7% year-over-year, approaching $350, primarily benefiting from increased high-end model sales proportions. Apple performed exceptionally in this quarter, with revenue growing 13% year-over-year, capturing 43% of global smartphone market revenue.

From Apple's perspective, on August 6 EST, Apple announced an additional $100 billion investment commitment to the US and released its new American Manufacturing Program (AMP). Apple stock surged 5.09%, marking its largest single-day gain since May 12. Apple's performance significantly exceeded expectations, with services business continuing strong momentum and government subsidies promoting China market recovery. In Apple's fiscal Q3 2025, revenue reached $94 billion, up 10% year-over-year, with iPhone, Mac, and services business achieving double-digit revenue growth, representing the strongest quarterly revenue growth since December 2021.

Regarding supply chain opportunities, research reports indicate that iPhone 17 is expected to see upgrades and value increases in SoC chip AI capabilities, heat dissipation, FPC flexible circuits, batteries, and back covers. However, the current market is also beginning to anticipate iPhone 18 and artificial intelligence's boost for Apple. Additionally, analysts believe Apple's first foldable screen device is expected to launch in 2026, with incremental segments like hinges and UTG glass worth attention.