BUSINESS

Apple Supplier Luxshare Seeks Hong Kong Listing to Boost Trade War Defenses

Published: Aug. 20, 2025 4:22 a.m. GMT+8

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Luxshare reassured investors in April that it would not absorb new tariff costs, saying that logistics and warehousing fees have never been part of its supply chain burden

Luxshare Precision Industry Co. Ltd., a major Chinese assembler of Apple Inc.’s iPhones, has applied for a listing on the Hong Kong Stock Exchange, joining a wave of Chinese technology firms turning to international capital markets as they navigate growing geopolitical and trade pressures.

The Shenzhen-listed company submitted its application and preliminary prospectus on Monday, according to a company announcement. Luxshare did not disclose how much it intends to raise or the expected size of the offering.

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Luxshare Precision Industry, a major Apple iPhone assembler, has applied for a Hong Kong Stock Exchange listing amid trade tensions and geopolitical risks.
Apple made up 70.7% of Luxshare’s 2024 revenue; Luxshare’s 2024 revenue rose to 268.8 billion yuan, with net profit at 14.6 billion yuan, but gross margin shrank to 10.1%.
Hong Kong’s IPO market rebounded strongly, raising HK$107.1 billion in H1 2025 and becoming the world’s top IPO venue.

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Who’s Who

Luxshare Precision Industry Co. Ltd.: Luxshare Precision Industry Co. Ltd. is a major Chinese assembler of Apple Inc.'s iPhones. The company has applied for a listing on the Hong Kong Stock Exchange. In 2024, Apple accounted for 70.7% of Luxshare's revenue. They operate factories in several countries, but final iPhone assembly is concentrated in mainland China.

Lens Technology Co. Ltd.: Lens Technology Co. Ltd., another supplier to Apple, raised HK$4.7 billion ($600 million) in a Hong Kong debut in July. This funding is intended for product expansion and new facilities in Vietnam and Thailand. Apple accounted for nearly half of Lens Technology's 2024 revenue. The company's prospectus indicated that its brand clients were responsible for additional tariff costs, despite existing contracts not allowing for price adjustments.

Apple Inc.: Apple Inc. is a significant client for Chinese technology firms, particularly in smartphone assembly. Luxshare Precision Industry Co. Ltd. relied on Apple for 70.7% of its 2024 revenue, while Apple accounted for nearly half of Lens Technology Co. Ltd.'s revenue in the same year. These companies are navigating geopolitical and trade pressures, including tariffs, which could impact their supply chains and financial performance.

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What Happened When

2022：: Luxshare’s revenue was 214 billion yuan and net profit was 10.5 billion yuan; gross margin was 11.9%.

2024：: Luxshare’s revenue rose to 268.8 billion yuan, net profit to 14.6 billion yuan, and gross margin narrowed to 10.1%. Apple accounted for 70.7% of Luxshare’s 2024 revenue; Apple accounted for nearly half of Lens Technology’s 2024 revenue.

Early April 2025：: Luxshare’s shares hit a low of 26.91 yuan, following U.S. President Donald Trump's announcement of sweeping reciprocal tariffs.

April 2025：: Luxshare reassured investors that it would not absorb new tariff costs.

First half of 2025：: 44 companies raised a combined HK$107.1 billion in Hong Kong IPOs, marking a sevenfold increase from the prior year, with a record 210 main-board applications pending at the end of June 2025.

End of June 2025：: A record 210 main-board applications were pending on the Hong Kong Stock Exchange.

July 2025：: Lens Technology Co. Ltd. raised HK$4.7 billion ($600 million) in an initial public offering in Hong Kong.

Monday, August 18, 2025：: Luxshare Precision Industry Co. Ltd. submitted its application and preliminary prospectus for a listing on the Hong Kong Stock Exchange.

Tuesday, August 19, 2025：: Luxshare’s Shenzhen-traded shares closed down 1.24% at 39.10 yuan, with a market capitalization of 283.6 billion yuan.

After talks in Stockholm (specific date not stated), with tariff deadline extended to early November 2025：: U.S. and China agreed to a 90-day tariff truce; deal still under negotiation with tariff deadline extended to early November 2025.

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