Cut chicken wings into three sections; discard wing tip section. In a shallow bowl or large resealable plastic bag, combine cornstarch, baking powder, salt, pepper and sugar. Dip chicken pieces in eggs, then coat generously with cornstarch mixture.
In an electric skillet or deep-fat fryer, heat oil to 350°. Fry chicken wings, a few at a time, for about 9 minutes or until juices run clear. Drain on paper towels. Keep warm.
Meanwhile, in a large saucepan, combine apricots and water; bring to a boil. Reduce heat; cover and simmer until apricots are tender.
Transfer to a blender or food processor. Add the sugar, vinegar, honey and cayenne; process on high until smooth. Cool slightly. Serve with chicken wings.
Editor's Note: Sauce can be made ahead, covered and refrigerated. Reheat and thin with a little water if necessary.