Production Of Apple's iPhone XR In India Will Cut the Prices?

• Apple to start commercial production of iPhone XR in India.
• Foxconn manufacturer of Apple's Phone will start its operations in Chennai.

When someone brought the iPhone or any of the Apple products has always seen the note on the packaging that products are designed in California but that doesn't mean that the particular product they're manufactured there. Assembling and Manufacturing are the two different stages of a particular product.

Let's Go through Both The Stages 

The manufacturing of the iPhone component is done all around the world. There are hundreds of individual components in the iPhone and for building them hundreds of companies are also involved. Some of the companies that are involved to make Apple products complete. Sony and Qualcomm are manufacturing cameras for iPhones, Toshiba and Samsung are manufacturing flash memory and many more are in and out as per the requirement.

But for the assembling, these manufactured components from all over the globe only sent to the two companies. Those companies are Foxconn and Pegatron. Foxconn is a Taiwan based multinational electronics contract manufacturing company. Whereas Pegatron is also a Taiwan based electronics manufacturing company. Apple works with there supplier around 43 countries and six continents.

Now What's Going On In India

From only two cell phone manufacturing units in 2014 to 268 portable handset and components producing units in 2019 which has prompted 95 percent of cell phones sold in the nation being delivered locally. In fact, India now the 2nd largest cell phone manufacturer in the world after China.

In July 2018, Samsung propelled the world's biggest cell phone production line in Noida. The new office was set up with the point of multiplying its ability for cell phones in Noida from 68 million units every year to 120 million units per year, in a stage-wise development to be finished by 2020.

Other than Samsung, most Chinese cell phone creators which presently overwhelm the Indian market Xiaomi, Oppo and Vivo likewise produce their telephones in the nation. Apple has already started the assembling of the iPhone 7 at its provider Wistron's facility in Bengaluru.

Production of mobile handsets in volume terms arrived at 225 million units in 2017-18, when contrasted with the creation of 60 million units in 2014-15.

Now the tech giant Apple has commenced its commercial production of newer model iPhone XR in Chennai. This act is seen as a result of the US-China trade deal due to which international companies manufacturing with Asian giant China have been hit by major losses this financial year.

Apple is also looking forward to shifting its assembly and production units from China to other countries as a non-risking master plan. The company has also proposed plans to build its latest iPhone 11 series at the Chennai-based plant.

Is iPhone Will Drop Prices In India

An executive from Apple told that this move will save the company around 20% in import duty through local manufacturing of the iPhone XR. However, there was no speculation of price drops for the iPhones. “Apple hasn’t cut cost on any of its domestic-made iPhones,” he added.

Apple, along with Taiwanese contract manufacturing partner Foxconn, invested $1 Bn in India to export ‘Made in India’ iPhones around the world. Apple’s other cell phone component suppliers will also be investing in the venture.