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Hon Hai, known internationally as Foxconn Technology Group (富士康科技集團), is to assemble the most expensive models, such as devices in the flagship iPhone X family, the source said.

Apple's high-end iPhones will be assembled at Foxconn's facility in Sriperumbudur town of Tamil Nadu.

The report has also revealed that compared to last year's iPhone 8 and iPhone X, the attractively priced iPhone XR has caused more Android users to switch to iOS. The company is expected to invest $356 million for expanding the plant, which includes iPhone production.

The investment may create as many as 25,000 jobs, he added. Moreover, the source also claimed that Foxconn is planning to assemble iPhones in India. Still, sales of the iPhone XR have been disappointing.

The Hindu recently reported it, wherein the newspaper underlined that Foxconn plant would be initiating the production of several iPhones. While the ratio was 82 per cent this year, it stood much higher at 86 per cent last year and 87 per cent at the time of the launch of iPhone 8.

Following the November 2017 launch of the iPhone X, 11 percent of iPhone sales were to customers upgrading from an Android.

"It appears that iPhone XR did serve to attract current Android users,", said Mike Levin from the market-research firm CIRP. The company reduced the prices for iPhone X past year since it introduced new 2018 iPhones models globally. That makes it Apple's best-selling model in the U.S. It's nearly equal to the combined total of the XS and XS Max, who garnered 35 percent of U.S. iPhone sales in that same month.

Full details of Apple's deal with Hon Hai are not yet clear and could change. With that said, it's unclear if this means all production of iPhones have been shifted from China to India, or if the Indian manufacturing line is merely acting as a supplement.