Apple begins iPhone 6s production in India — Economic Times

Alicia Farmer
April 14, 2018

Following up on a January report that Apple planned to produce low-priced iPhone 6s models at a new production facility in Bengaluru, India, the country's Economic Times said today that Apple is trialing iPhone 6s Plus production, with plans to begin domestic manufacturing in two weeks.

The iPhone 6s Plus being produced locally will reduce the price for consumers by 5-7 percent, making it an attractive prospect for those that want performance, extended software support and pretty much any other thing that you would want in a device without spending ludicrous amounts of money.

Apple shares are up 0.4% to $174.87. The manufacturing of the 4.7-inch iPhone 6s would begin in a month or two in the plant, according to IBTimes' sources. This might serve as more of a cost correction though, since the company had to hike iPhone rates when the government raised customs duty in December last year and February this year. "Eventually, as the local capacity gains scale the prices will get corrected". In India, the iPhone SE can be bought for as low as Rs 18,799, while the iPhone 6S Plus can be found at Rs 37,999 on ecommerce platforms like Amazon India.

This measure forced Apple to seek methods to keep the price of its phone down and stay competitive. Apple has also started discussing with its vendors and contract manufacturers like Flex, Foxconn and Wistron to expand sourcing in India.

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In April, the finance ministry, as part of its "make in India" initiative and to encourage local components sourcing, increased the taxes on camera modules, connectors and PCBs (printed circuit boards), a major part of the mobile, which houses the processor, RAM, storage and more.

An industry executives said Salcomp is into manufacturing of chargers and adapters for iPhones, while Shenzhen YUTO Packaging manufactures packaging products.

The iPhone 6S Plus is also among the last iPhones to come in Rose Gold as Apple discontinued for newer iPhones. After a number of price cuts, its now sub-Rs 20,000 price has made an extremely affordable iPhone in the country. However, this may not happen immediately since Wistron won't be able to fully meet the requirements for the iPhone 6S Plus straight out of the gate.

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