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Apple's severely underpriced new product
#AppleEvent
#AppleEvent
All iPhone 17 series made in India 🇮🇳
No reduction in pricing for us 🥹
No reduction in pricing for us 🥹
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🏭 Where They’re Made
Apple has spread production across five major factories in India:
iPhone 17 Pro
➡️ Foxconn (Sriperumbudur, TN) & Tata-run Pegatron (TN)
➡️ Foxconn, Tata
iPhone 17 (base)
➡️ Tata’s Wistron facility (Karnataka) & Tata Hosur plant (TN)
➡️ Tata
iPhone 17 Air (slimmest ever)
➡️ Foxconn Sriperumbudur (TN)
➡️ Foxconn
iPhone 17 (additional capacity)
➡️ Foxconn’s new $2.8B Devanahalli mega-plant (near Bengaluru)
➡️ Foxconn
- Foxconn’s Devanahalli plant is now India’s largest iPhone factory by capacity.
- Production ramp-up began with test runs in April 2025 and is now in full swing to meet US, Europe, and India demand.
Apple has spread production across five major factories in India:
iPhone 17 Pro
➡️ Foxconn (Sriperumbudur, TN) & Tata-run Pegatron (TN)
➡️ Foxconn, Tata
iPhone 17 (base)
➡️ Tata’s Wistron facility (Karnataka) & Tata Hosur plant (TN)
➡️ Tata
iPhone 17 Air (slimmest ever)
➡️ Foxconn Sriperumbudur (TN)
➡️ Foxconn
iPhone 17 (additional capacity)
➡️ Foxconn’s new $2.8B Devanahalli mega-plant (near Bengaluru)
➡️ Foxconn
- Foxconn’s Devanahalli plant is now India’s largest iPhone factory by capacity.
- Production ramp-up began with test runs in April 2025 and is now in full swing to meet US, Europe, and India demand.
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📊 Price Breakdown – iPhone 17 Pro (256 GB) in India
Retail Price (MRP): ₹1,34,900
---
💵 1. Base Manufacturing Cost – ~₹60,000 (~44%)
- Covers assembly in India
- Includes imported parts (85–90% of components still come from abroad)
---
🚢 2. Import Duties on Components – ~₹12,000 (~9%)
- 20% Basic Customs Duty on key parts like displays, camera modules, and chipsets
---
🏷 3. GST (18%) – ~₹20,600 (~15%)
- Applied on the final retail price, not just the base cost
---
📦 4. Logistics & Distribution – ~₹4,000 (~3%)
- Warehousing, transport, and insurance
---
🛍 5. Retailer Margin – ~₹13,000 (~10%)
- 10–12% markup for Apple Stores & authorised resellers
---
🍏 6. Apple’s India Margin – ~₹25,000 (~19%)
- Covers marketing, warranty, R&D allocation, and premium brand positioning
---
🔍 Key Takeaways
- Taxes alone (import duties + GST) make up ~24% of what you pay.
- Even with local assembly, most high-value parts are still imported, so duties remain.
- Apple’s premium pricing strategy in India adds a significant margin — savings from local assembly aren’t fully passed on.
- Rupee depreciation against the dollar in 2024–25 increased component costs.
---
💡 Reality Check
If Apple removed all import duties and kept only GST, the same iPhone 17 Pro could theoretically retail around ₹1.05–1.08 lakh — still not US pricing, but much closer.
Retail Price (MRP): ₹1,34,900
---
💵 1. Base Manufacturing Cost – ~₹60,000 (~44%)
- Covers assembly in India
- Includes imported parts (85–90% of components still come from abroad)
---
🚢 2. Import Duties on Components – ~₹12,000 (~9%)
- 20% Basic Customs Duty on key parts like displays, camera modules, and chipsets
---
🏷 3. GST (18%) – ~₹20,600 (~15%)
- Applied on the final retail price, not just the base cost
---
📦 4. Logistics & Distribution – ~₹4,000 (~3%)
- Warehousing, transport, and insurance
---
🛍 5. Retailer Margin – ~₹13,000 (~10%)
- 10–12% markup for Apple Stores & authorised resellers
---
🍏 6. Apple’s India Margin – ~₹25,000 (~19%)
- Covers marketing, warranty, R&D allocation, and premium brand positioning
---
🔍 Key Takeaways
- Taxes alone (import duties + GST) make up ~24% of what you pay.
- Even with local assembly, most high-value parts are still imported, so duties remain.
- Apple’s premium pricing strategy in India adds a significant margin — savings from local assembly aren’t fully passed on.
- Rupee depreciation against the dollar in 2024–25 increased component costs.
---
💡 Reality Check
If Apple removed all import duties and kept only GST, the same iPhone 17 Pro could theoretically retail around ₹1.05–1.08 lakh — still not US pricing, but much closer.
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