Home Tech Hub Apple will make AirPods in India, but will they make it cheaper?

Apple will make AirPods in India, but will they make it cheaper?

0
Apple will make AirPods in India, but will they make it cheaper?

Apple will make AirPods in India, but will they make it cheaper?

Apple is set to start manufacturing its AirPods in India, marking a major step in its efforts to expand production outside China. The move comes as part of Apple’s broader strategy to improve its presence in India’s growing electronics manufacturing sector. However, whether this change will reduce prices for Indian consumers remains uncertain.

listen to the story

Advertisement
Apple will make AirPods in India, but will they make it cheaper?
Apple AirPods.

Apple is set to start manufacturing its AirPods in India, marking a major step in its efforts to expand production outside China. The move comes as part of Apple’s broader strategy to improve its presence in India’s growing electronics manufacturing sector. However, whether this change will reduce prices for Indian consumers remains uncertain.

Foxconn Technology Group, a major supplier to Apple, will take over the production of AirPods at a new facility located near Hyderabad in Telangana. Sources familiar with the matter told Bloomberg that trial production has already begun, and full-scale manufacturing is expected to begin in the first quarter of 2024. So, will AirPods get cheaper?

Advertisement

Many factors influence product pricing, including local taxes, production costs, demand, and Apple’s pricing strategy. Although local production can help reduce import duties and costs related to logistics, it may not immediately translate into significantly lower prices for consumers. Apple has a history of maintaining premium pricing, and any potential price reduction may be modest. However, if Apple increases manufacturing capacity and gets more demand for AirPods in India, local production could help with faster availability and possibly lower costs in the long term.

For the first time in many years, Apple reduced the prices of the iPhone 15 series in July 2024, just months before the launch of the iPhone 16 series. Usually the company announces price cuts only after introducing new models. So, what is the reason for such a quick cut?

Earlier this year, developments such as India’s 2024 Union Budget created a more favorable environment for electronics manufacturing. Finance Minister Nirmala Sitharaman announced a cut in basic customs duty on mobile phones and chargers, bringing the total customs duty down to 16.5 percent. This encouraged companies like Apple to increase local production. Following these duty cuts, Apple also reduced the prices of iPhone 15 models in India, offering up to Rs 6,000 off on the iPhone 15 Pro series. A similar cut could potentially happen with AirPods, but its extent remains uncertain.

Although a major price drop may not happen immediately, manufacturing AirPods locally could benefit Indian buyers in the long term. As production increases and Apple expands its local manufacturing capacity, more competitive pricing and faster availability may be possible in the future.

NO COMMENTS

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Exit mobile version