Apple begins large production of iPhone 6s in India to avoid import duty spikes

According to industry executives and Economic Times, Apple has reportedly started commercial production of the second iPhone in India, with a Wistron facility manufacturing the iPhone 6s for sale in the region and the iPhone SE, to Apple avoid import duties for the second India-produced model.  According to research firm Counterpoint, he iPhone 6 series accounts for a third of iPhone sales in India. Locally made iPhone SE provides less than 15 percent of revenue.  Producing the iPhone 6s in India will allow Apple to avoid any changes to import duties for the smartphone. The Made-in-India iPhone 6s will only be sold in India

In December, the basic customs duty for smartphones rose from 10 percent to 15, before rising again to 20 percent in February, while in April, the government imposed a 10-percent customs duty on electronic components, including circuit boards, camera modules, and connectors. In 2018 alone, these tax rises forced Apple to increase prices in India 7 percent. According to Apple, revenue in India grew year-on-year by 17 percent with profits up 44 percent, but with overall revenues lagging far behind Chinese vendors including Xiaomi, Vivo, and Oppo who concentrate on the value end of the smartphone market.