In a bid to penetrate deeper into the Indian smartphone market, Apple has commenced the local production of iPhone XR in the country. Both the Wall Street Journal and Economic Times are reporting that the iPhone XR is being manufactured at a Foxconn facility near Chennai, India, following weeks of trials. This is the first time Apple is assembling a high-end smartphone at a partner facility in India.
A report published by The Economic Times also claims that Apple is planning to export the locally made iPhone XR to other markets as well. Apple has already been assembling the iPhone 6s and iPhone 7 models at the same facility to export to Europe. Apple hasn’t officially commented on the iPhone XR being made in India.
With the iPhone XR being locally made in the country, Apple will now save roughly 20 per cent of import duty it previously had to pay on an imported unit. However, the company is not expected to pass on the benefit to consumers. Apple, in fact, will continue to sell the iPhone XR at Rs 49,900.
The move to locally manufacture the iPhone XR will benefit Apple, the world’s most valuable company. The iPhone XR is a testing ground for Apple to manufacture newer flagships in India in the near future. In fact, Apple is already thinking to manufacture the iPhone 11 at the same facility, if everything goes as per the plan.
The decision to manufacture the iPhone XR could also be linked to an overwhelming response received in India. According to Counterpoint Research, the iPhone XR was the top-selling premium smartphone in the second quarter of this year in the country. The recent price has helped the iPhone XR to better compete with other rival high-end smartphones from Samsung and OnePlus.