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Pegatron expanding China capacity to manufacture iPhone 6

The Apple store on Fifth Avenue in New York City.
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Taiwan's Pegatron, which assembles Apple's iPhone and iPad, is opening up new factory space and recruiting workers in China to meet orders to manufacture the new iPhone 6, Commercial Times reported.

Production would begin in the second quarter, the newspaper said on Tuesday, citing sources which it did not identify. It did not give a timeline for when the phone would arrive in stores.

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The report also did not specify the number of units that would be manufactured at the facility in Kunshan, on the outskirts of Shanghai, or how many workers would be recruited.

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In addition to Pegatron, fellow Taiwanese contract assembler Hon Hai Precision Industry could be the other primary manufacturer of the new phone, Commercial Times said.

Pegatron chief financial officer and spokesman Charles Lin had no comment on the report. Calls to Hon Hai seeking comment went unanswered.

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Shares of Pegatron gained 1.64 percent, eclipsing a 0.26 percent rise in the broader Taiwan market.