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The company has been hindered by Indian import taxes, making its already expensive iPhone X line even more costly in the country. M. C. Sampath, the state's Industry Minister, said the Foxconn will invest $356 to expand the plant.

Apple's decision to start making iPhone outside of China may not surprise anyone given the current trade war going on between the United States and China.

It's important to note that Foxconn won't be assembling just any iPhone in India, but its top-of-the-line X series.

Foxconn could start assembling top-end iPhones in India as early as 2019. Furthermore, India is "the world's fastest growing major mobile phone market", according to the Reuters report.

Apple did not immediately respond to a Fortune request for comment on the report.

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An Apple spokeswoman, Trudy Muller, who was pressed for comment by Reuters, declined - while a Foxconn spokesperson said in a statement that the firm does not comment on "matters related to current or potential customers, or any of their products".

The report also found that iPhone XR, with a starting price of $749, is the more popular of the latest iPhone models. CIRP reported in June that Android users were more likely to switch to Apple's cheapest model, which at the time of the report was the iPhone SE, because they were hesitant to splurge on the iPhone X. "Part of this belief was based on the company's size and ability to both negotiate pricing and terms with its manufacturers and move its manufacturing out of China", Mr Forte wrote.

The brokerage lowered its forecast for the number of units produced in the first quarter of iPhone XS Max, which starts at US$1,099, by 48 per cent.

"Based on the initial sales, iPhone XR took the same share of iPhone sales as earlier models in their first month on the market", CIRP co-founder Josh Lowitz said.

But despite these developments, Apple would be concerned about the declining sales of iPhones overall.

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