Apple cuts iPhone price in India due to economic slowdown in China

Apple has cut prices of its pro iPhone models in India by 3-4%, after the country’s government reduced import duties on imported smartphones from 20% to 15%. Apple’s price cuts range from ₹300 (about $3.6) for the India-made iPhone 13, iPhone 14, and iPhone 15, ₹2,300 ($27.5) for the iPhone SE, and up to ₹6,000 ($72) for the iPhone 15 Pro and Pro Max.

This is the first time that Apple has cut prices of the current-generation Pro models in India.

The price cut comes as demand for iPhones appears to be slowing in China. Market research firm Canalys reported this week that Apple’s smartphone shipments in China fell 6.7% in the quarter ended June from a year earlier.

“Apple is facing a bottleneck in mainland China,” wrote Lucas Zhong, research analyst at Canalys

Apple declined to comment.

While the price drop is welcome, iPhones remain extremely expensive in India. The cheapest iPhone 15 Pro model, which costs $999 in the US, still costs $1,550 in India.

India has emerged as a key overseas market for Apple as it increasingly expands its manufacturing base in the country. Apple’s revenue in India is expected to jump 42% to $8.7 billion in 2023 from the previous year, according to Morgan Stanley.

iPhone shipments in India grew 39% to 9.2 million units in 2023, making it the company’s fifth-largest market for its phones. The Indian iPhone market is larger than that of any country in the European Union, Morgan Stanley added.

Apple’s share of the smartphone market is also rising, thanks to the improving domestic economy. The company’s market share reached double digits in the fourth quarter of last year, though it has since declined, according to UBS and Counterpoint.

Moneycontrol reported on Friday that Apple plans to start assembling the professional models of its next-generation iPhone in India this year. Google announced last year that it too would start manufacturing its Pixel smartphones in India from 2024.