Produced by: Manoj Kumar
India imposes around 20% import duties on smartphones and components. These costs are passed on to consumers, making iPhones significantly more expensive.
Indian iPhone prices include 18% GST, while in the US, sales tax is lower and often added at checkout—not built into the base price.
The Indian Rupee’s lower exchange rate against the US Dollar inflates the cost of imports like iPhones, especially when priced in USD globally.
Apple positions itself as a luxury brand in India, keeping prices higher to maintain exclusivity—unlike in the US, where it's a mass-market product.
Many iPhones in India are sold by third-party sellers, who add extra margins. In contrast, US buyers often purchase directly from Apple or major carriers.
Most iPhones sold in India are only assembled locally. Since components are still imported, duties and taxes apply—unlike in the US, where Apple benefits from global supply chain efficiencies.
Apple sells far more units in the US, letting it offer lower per-unit pricing due to volume. In India, smaller market share leads to less aggressive pricing.
The US offers contract-based deals and trade-in discounts through carriers. In India, these subsidies are rare, so customers pay full retail price upfront.
Apple sets region-specific pricing. In the US, it prices competitively due to demand and competition. In India, Apple maintains high prices to preserve premium positioning.