iPhone 15 Pro Pricing: Apple’s iPhone 15 Pro models in India are priced significantly higher compared to the US market. A number of reasons contribute to this price difference:
US Pricing vs. Indian Pricing: The US price for the iPhone 15 Pro (128GB) is $999 + state taxes, while in India, it is Rs 1,34,900. When converted, the US price is approximately Rs 90,000, not accounting for state-specific taxes.
Taxes & Duties:
- The US has state-specific taxes that can vary, adding an additional cost to the base price.
- In India, there is an 18% GST that is included in the MRP. From the Rs 1,34,900 iPhone 15 Pro, GST accounts for Rs 20,577.97.
- Components used in iPhones assembled in India attract duties from 2.5% to 12%. The iPhone 15 Pro models, which are imported, carry a 20% customs duty and 2% cess. This totals to 22% in duties, amounting to Rs 20,615.45 for the iPhone 15 Pro before GST.
- The cumulative taxes and duties for the Rs 1,34,900 iPhone 15 Pro come to around Rs 41,193.42. For the iPhone 15 Pro Max (256GB) priced at Rs 1,59,900, the duties and taxes come to Rs 48,827.48.
Production Location: While Apple has started producing the iPhone 15 in India, the Pro models are still manufactured in China and imported into India.
Currency Fluctuation & Volatility: When determining the local pricing, companies account for currency fluctuations and maintain a buffer to handle any volatility, which can impact the final pricing.
Offers & Trade-ins: To provide some relief to customers, Apple offers trade-ins, where consumers can exchange their old smartphone for a new one. Additionally, promotions, like the HDFC Bank offer that provides Rs 8000 savings on the new iPhones, can also help reduce the effective price.
In summary, while the base price of the iPhone is relatively consistent, taxes, duties, currency fluctuations, and other country-specific factors account for the price differences seen between markets like the US and India.