Last December, the Indian government hiked taxes for smartphones imported from foreign countries, stressing on companies to initiate local smartphone production.
Hong Kong-based Counterpoint estimates the iPhone 6 series contributes nearly one-third of total sales of iPhones in India in 2017 as compared to less than 15% generated from iPhone SE, the only Apple smartphone model to be locally assembled in the Wistron plant till now. With the smartphone being locally assembled, the report claims that buyers can expect the prices to drop by about 5-7 percent, but that will only come in effect once the plant increases its production capacity.
This measure forced Apple to seek methods to keep the price of its phone down and stay competitive.
Apple might start manufacturing the iPhone 6s Plus in its Bengaluru facility.
The iPhone 6S Plus is one of the more popular iPhones in India. However, considering that not all parts of the smartphone will be manufactured in India, and will need to be imported from China, the price correction may not reflect immediately. If Apple is able to make parts in India, it could price its iPhones even lower. Industry executives said Apple has also started discussion with its component vendors and contract manufacturers like Flex, Foxconn and Wistron to expand local sourcing, including components.
A customer tries out an iPhone 6s Plus and an iPhone 6s at an Apple Store. Meanwhile, Apple has joined their hands with the local partners in India, including chargers, adapters and box packaging. The iPhone SE since its launch in India over two years ago has steadily seen a great response in India.
Wistron has set up a new assembly line for iPhone 6s Plus production, and commercial production is expected to start in next couple of weeks, according to the ET report. After a number of price cuts, its now sub-Rs 20,000 price has made an extremely affordable iPhone in the country.