Apple’s upcoming slim iPhone model faces potential sales obstacles in China due to design limitations that prevent fitting a physical SIM card tray, which is mandatory in the Chinese market.

The new device, planned for release next fall, measures 5-6 millimeters thick compared to the iPhone 16’s 7.8mm, The Information reported Monday [non-paywalled source]. The company aims to revitalize iPhone sales in China, where revenue has declined for three consecutive years amid competition from Huawei and Vivo. The thin iPhone relies on embedded SIMs (eSIMs), which Chinese regulators haven’t yet approved for smartphone use. Engineers are also struggling with battery placement and thermal management in the slim design, the report added.