A new generation of iPhone production in another country simultaneously with China is happening for the first time. Will Indian-made iPhone 14 will be cheaper?
A new generation of iPhone production in another country simultaneously with China is happening for the first time. Will Indian-made iPhone 14 will be cheaper?
The US technology giant Apple wants to begin producing the iPhone 14 in India roughly two months after it is released in China, amid rising geopolitical tensions between the US and China.
Apple has traditionally relied on China to produce its products, but given the rising hostilities between the two nations, it is now looking at alternative manufacturing locations.
Apple is planning to produce the newest iPhone 14 models in India as it increases manufacturing through its contract manufacturer Foxconn, which has a factory in Chennai. The new iPhones are anticipated to begin production in India just two months after they leave Chinese facilities, closing the six-month gap in assembly time between the two nations.
Over the years, India has increased its manufacturing capacity, luring businesses to make use of its expanding design capabilities beyond its access to cheap labor and ready labor.
The decision by Apple indicates a “dramatic shift” in the confidence of major tech companies in India over the past two years, according to Rajeev Khushu, chair of the India Electronics and Semiconductor Association (IESA).
New phone generations would also be produced in the nation, he said, adding that iPhone models were already being done so. “In the past, corporations like Apple would rely on older models and were taking the safe route. It demonstrates India’s evolution and the removal of many barriers.
Will Indian-made iPhone 14 be cheaper?
One question is usually on people’s minds when a new iPhone series is revealed, more so than technical details and features. And that’s about the pricing, especially for Indian iPhone users. Given its high market value and price, the iPhone continues to be a product that many people aspire to own. We saw Apple not raising prices for India with the iPhone 13 series last year. But will it be the same this year?
It seems unlikely that the iPhone 14 series will launch at the same price as last time given the current economic climate, the rupee’s decline against the US dollar, and the overall pressures of inflation. To understand the scenario more clearly, let’s take a look at the prices of the iPhone series set by Apple for India in the last two years:
Price of Apple’s iPhone 12, iPhone 12 mini, and iPhone 13 in India
The standard 128GB storage option of the iPhone 13 cost Rs 79,900 when it was first released by Apple last year. Starting at Rs 69,900 for the same storage was the iPhone 13 mini. The pricing was the same as those for the 2020 iPhone 12 series, which had a similar starting point.
However, the 64GB storage capacity was the default for the iPhone 12 series, not the 128GB we saw in 2021. Apple technically increased storage but didn’t raise costs in India.
India prices for Apple’s iPhone 13 Pro, Pro Max, and iPhone 12 Pro and Pro Max
The price of the iPhone 13 Pro stayed the same in line with recent trends. Compared to the iPhone 13 Pro Max, it started at Rs 1,19,900. These were the same costs for the 2020 introduction of the iPhone 12 Pro and iPhone 12 Pro Max. However, Apple did not change the Pro series’ standard storage capacity, which remains at 128GB.
Expect a price increase for the Apple iPhone 14 Pro, iPhone 14 Pro Max, and iPhone 14
Given the aforementioned economic factors, a price increase for the iPhone 14 Pro series is most likely. Well-known Apple expert Ming Chi-Kuo has also stated that he anticipates Apple will raise the cost of its Pro series. Costs will probably increase if Apple includes the more advanced camera, the new pill-shaped notch display, and other upgrades.
Due to the high import charges paid by Apple’s OEMs (original equipment manufacturers) on component imports, assembling the iPhone 14 in India is unlikely to result in price reductions. Along with import taxes, there are other expenses, such as the 18% GST, Apple’s profit margin, and import duties. As a result, the price of iPhones produced locally is still expensive.
Apple sells its cellphones and other goods through independent retail networks in India, which drives up the cost of iPhones.
Due to the high import charges paid by Apple’s OEMs (original equipment manufacturers) on component imports, assembling the iPhone 14 in India is unlikely to result in price reductions. Along with import taxes, there are other expenses, such as the 18% GST, Apple’s profit margin, and import duties. As a result, the price of iPhones produced locally is still expensive.
Additionally, Apple sells its cellphones and other goods through independent retail networks in India, which drives up the cost of iPhones.
Analyst predictions and the state of the economy as a whole suggest that buyers who want to upgrade to the iPhone 14 Pro series should be prepared to pay extra right now.
edited and proofread by nikita sharma
