Apple (NASDAQ:AAPL) is reducing iPhone Air production orders but increasing those for other iPhone 17 models as strong overall sales of the lineup continue, Nikkei Asia reported.
The revision to production plans shows a tepid response for the iPhone Air in markets outside of China, and an unexpectedly robust demand for the iPhone 17 and iPhone 17 Pro models, with the result that Apple is sticking with its production forecast of 85 million to 90 million units for the lineup as a whole, the report added, citing several sources.
Apple did not immediately respond to a request for comment from Seeking Alpha.
Production orders for the iPhone Air have been reduced nearly to “end of production” levels, in spite of it only becoming available in China last week, because of weak demand in other markets, the report noted.
Under the initial manufacturing plan, the iPhone Air accounted for about 10% to 15% of overall new iPhone production this year. The model is seen as strategically paving the path for the first foldable iPhone, expected to launch in 2026, the report added. Nikkei Asia earlier reported that Apple has high hopes for the launch of such a phone in 2026.
Apple has informed several suppliers to largely reduce component and electronics module orders for the iPhone Air. One supply chain manager said manufacturing orders for the iPhone Air from November onward will be less than 10% of the volume versus September. Another supplier executive noted that they received a similar notice from Apple, according to the report.
“The total forecast has almost entered end-of-production mode, dropping significantly compared to earlier projections, to only about 10% fewer orders compared with September starting in November,” said one of the part supplier managers, the report noted.
However, demand for the iPhone 17 model and iPhone 17 Pro has surpassed expectations. Apple has increased production orders for the starting iPhone 17 model by about 5 million units and also increased orders for the high-end iPhone 17 Pro, the report added.
The difference in popularity between the models can be seen by consumers. In the U.S., the average wait time for an iPhone 17 model with 256 gigabytes of storage and free shipping is currently about two to three weeks, and one to two weeks for the iPhone 17 Pro. However, there is no wait time for the iPhone Air, according to the company’s official website, as per the report.
Many suppliers are relieved that the U.S. tech giant’s latest production estimate for the iPhone 17 models is similar to what it originally forecast, given earlier concerns that trade tensions between the U.S. and China, along with U.S. President Donald Trump’s tariff war, would have on demand.
“Apple is the only client that has so far kept its production forecast for its latest series … Our other smartphone clients all face some decline [in unit terms] for 2025,” noted an executive with a part supplier that serves all the top five smartphone producers, the report added.
Besides Apple, other top smartphone manufacturers are Samsung Electronics (OTCPK:SSNLF) Xiaomi (OTCPK:XIACF) (OTCPK:XIACY), Vivo and Oppo.
Overall manufacturing orders for the iPhone 17 are “stable and on track,” as per another supply chain executive. “It’s already a big relief, as most of us in the electronics supply chain are worried about globally weak macroeconomic conditions and the volatile tariff environment,” the executive noted. “Apple has even asked us to prepare some additional components in case demand exceeds expectations” the report added.
A third supply chain executive added that order adjustments for the overall iPhone 17 series are expected in the coming months, as Apple always makes such revisions, “but the situation since the product launch is already good news for us.”
Apple unveiled the iPhone 17 series on Sept. 9 and began shipments on Sept. 19. However, iPhone Air went on sale in China last week after delays caused by the country’s strict rules on eSIM technology. The sales performance of iPhone Air in the first few days in China has been good, the report noted.
Shipments of iPhones for the July-to-September quarter increased compared to a year earlier, despite the overall smartphone market continuing to mature, as per research firms Counterpoint and IDC.