Apple has reportedly started selling ‘Made in India’ iPhone XR models in the country, a media report has said. These phones are said to be assembled at Chinese contract manufacturer Foxconn’s India factory, which is located in Sriperumbudur town of Tamil Nadu. According to a report in Reuters, iPhone XR boxes with an ‘Assembled in India’ tag were spotted at various retailers. The phone currently sells for Rs 49,900 (64GB version) and comes in several colour and storage options.
Apple’s strategic move to locally assemble phones would help the company to avoid the high import duty on fully-built devices. This means that Apple would be able to sell iPhones at a much reduced price, which may turn into high sales and profits for the company. Last year, the company CEO Tim Cook hinted that Apple wants the Indian government to cut heavy duties on Apple products that are sold in India.
Apple has changed its strategy in the India market and with the reduced iPhone prices of the iPhone XR, it now competes with the likes of OnePlus 7T Pro and Samsung Galaxy S10e. This also clears the path for the company to open its own stores in India. In August, Apple announced that the company will first open online exclusive stores in the country, and then a brick and mortar store in Mumbai. Currently, Apple sells iPhone via authorised resellers here.
With Apple Inc starting selling the iPhone XR phones assembled in India, as it looks to expand its share in the world's second-largest smartphone market, especially at a time when it is facing tough conditions in China. Reportedly, the company will now be saving nearly 20 per cent in import duty by locally manufacturing iPhone XR.
The iPhone shipments grew 19 per cent (YoY) in India in its last reported quarter. Apple regained top position in the premium smartphone segment in India in the second quarter (Q2), said a report by Counterpoint Research. The market research firms says that the promotional offers on the iPhone XR was one of the reasons for this jump. IHS Markit’s Smartphone Model Market Tracker report says that the iPhone XR is also the most shipped model in H1 2019, with 26.9 million units shipped worldwide.
