The side effects of Union Budget 2018 have started showing up, with Apple becoming one of the first brands to hike its prices in the country. The Cupertino-based giant, which imports most of its products, has been hit by the recent hike in custom duty rates, which was announced by Finance Minister Arun Jaitley in his Budget speech.
This hike has a direct effect on the prices of iPhone variants like 6, 6S, 7 and even iPhone X, that will now cost you Rs 1,08, 930 for the 256GB model. Here’s a detailed list of which iPhone models have been hit with the price hike, which is also available on Apple India’s website.
It’s quite evident that out of all smartphone brands that sell in the Indian market, Apple is the worst hit whenever the Budget revisions are rolled out.
Custom duty on imported items has been increased from 15 percent to 20 percent in 2018’s Union Budget.
Apple has also stated that the prices of iPhone SE remain unaffected by the custom duty hike, as, since last year, the company had started assembling the small-sized iPhone in India itself.
According to a recent report, Apple is now importing a majority of its components and products, which bear the brunt of increasing custom duty on imports.
It seems the government’s move has been made strategically to encourage brands like Apple to start manufacturing in India. However, that remains a distant dream until both parties get their wishes.
Brands like Samsung, HMD Global and OnePlus, among others, don’t really feel the pinch of custom duties, as they have been manufacturing in the country for a while now.