Apple starts iPhone XR production in India
We have already reported before that both Apple and Google are trying to move manufacturing hub away from China due to ongoing tension between USA and China. One step Apple has taken in this regard is manufacturing iPhone XR in India.
Manufacturing products in India has two fold effects. India being second largest mobile market in the world can now have easy availability.
Secondly, India is a very price conscious market and is dominated by more value for money brands like Redmi and Realme. This is the reason why Apple still advertises its old iPhones as cheaper alternatives. Importing iPhones in India incurs huge import taxes resulting into expensive phones. Thus manufacturing in India saves on manufacturing cost and import taxes.
At present, Foxconn, the contract manufacturer for iPhone has setup manufacturing plant for catering to domestic market i.e. India only and is producing 2018 XR only. However, in future they might also manufacture the 2019 models and may cater to the global market. Apple is also eyeing Vietnam as its global manufacturing hub.
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