Apple CEO Tim Cook unveils the new iPhone 12.

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Apple shares rose as much as 4% Tuesday morning after Japan’s news agency Nikki He said iPhone production is set to rise 30% in the first half of 2021.

Apple plans to build as many as 96 million iPhones between January and June 2021, according to anonymous sources cited by Nikkei. Includes the new IPhone 12 models compatible with 5GIPhone 11, and iPhone SE.

Apple now intends to produce as many as 230 million iPhones in 2021, according to a Nikkei report. Nikki said that is 20% more than what it achieved in 2020. Apple no longer discloses the number of phones it sells in its earnings reports.

The report said that demand for iPhone 12 Pro and iPhone 12 Pro is stronger than expected, according to a supplier, but that demand for iPhone 12 mini is “slow”.

Apple did not immediately respond to CNBC’s request for comment.

Wedbush Daniel Ives and Strecker Backe analysts said in a note on Tuesday that Nikkei’s article was “another bullish sign of ordering iPhone 12” and supported the so-called “supercycle thesis” arguing that many people with older iPhones are preparing for upgrades and will buy new iPhones. .

“Based on the lead times on the Apple website as well as the checks we have made, we believe pre-orders have tracked more than twice the previous iPhone 11 phone so far and are a solid start for Cupertino in this flagship product of the super cycle,” according to analysts he said.

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Analysts estimate that 20% of iPhone upgrades will come from China next year, and they say the country is “a key component in Apple’s recipe for success”.