Apple’s first foldable iPhone is facing a major production bottleneck ahead of its expected launch, with supply-chain sources claiming early manufacturing output has fallen to just a few hundred units per day.

The output revelation, reported by Nikkei Asia, raises questions over whether Apple will be able to supply enough devices to meet what is expected to be significant demand for the premium smartphone globally.

According to reports, Apple has introduced additional verification processes as it attempts to resolve manufacturing issues around the foldable’s complex hinge and foldable display technology. It’s understood the extra checks have created the hold up to full-scale production. 

The situation could have a direct impact on Australia’s retailers, particularly if Apple prioritises larger international markets for the initial rollout.

While traditionally Australia received major iPhone launches alongside other key markets, there is the possibility that the constrained production could see the first allocations of the device tightly controlled. 

The new foldable iPhone is expected to sit at the top of Apple’s smartphone range, with reports suggesting a design that features a display of around 7.8 inches when unfolded. Pricing is expected to be significantly higher than Apple’s existing iPhone Pro Max models.

Despite the premium price, Apple is reportedly targeting millions of units.

Apple has not publicly confirmed the reported production volumes, pricing or Australian release timetable.

The company is expected to unveil the new foldable alongside its next-generation iPhone range at its upcoming September product event, although exact launch timing and availability around the new products is not yet confirmed. 

The device represents one of Apple’s biggest product moves in years as it moves into new smartphone territory.