Chinese AirPods Maker Soars on Deal to Assemble iPhone Amid Trade Tensions

  • Luxshare gains 7% after deal to buy Wistron’s iPhone arm
  • Luxshare will join Foxconn and just two others making iPhones

Inside an Apple Inc. iPhone smartphone.

Photographer: Brent Lewin/Bloomberg
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Apple Inc. will soon invite a mainland Chinese company into the exclusive club of global iPhone assemblers, marking the biggest change to a decade-old production model just as Washington-Beijing tensions escalate.

Luxshare Precision Industry Co. struck a deal to acquire Wistron Corp.’s iPhone unit and become the first mainland company to assemble Apple’s marquee device. It’s another win for a company that went from making cables and antennas to AirPods, sending its shares higher by as much as 7% Monday while Wistron fell up to 10%.