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This year's new iPhones have arrived, and once again, Apple has significantly hiked the prices. Why do prices remain so high in India despite the iPhones being manufactured here? This question crosses the minds of both potential buyers and those who choose not to buy the phone. Apple introduces new models annually, consistently setting higher price points than before. The recent launch of the iPhone 18 Pro, iPhone 18 Pro Max, and the company's first foldable phone, the iPhone Duo, has reignited this discussion.

In India, the iPhone 18 Pro starts at ₹1,64,900, while the iPhone 18 Pro Max begins at ₹1,79,900. The most expensive model is the iPhone Duo, with a starting price of ₹2,99,900. These prices are significantly higher compared to those in the US. People often wonder: why is the phone so expensive when it is assembled right here in India?

In reality, iPhone operations in India are largely limited to assembly; the entire phone is not manufactured here. Expensive components—such as processors, displays, camera sensors, and memory—are still imported from places like Taiwan, South Korea, Japan, or China. Import duties are levied on these parts, and an 18% GST is subsequently added to the cost of the entire phone. These taxes and duties drive up the final price considerably. According to some estimates, taxes and duties account for 30–40% of the iPhone's total cost.

Apple's own strategy also plays a significant role in this. The company positions its products as premium offerings. Instead of lowering prices to drive high-volume sales, it targets affluent customers with higher price points, prioritizing exclusivity over mass-market penetration. It is unlikely that a 'status symbol' phone like the iPhone will become cheaper.
In a market like India, the iPhone is considered a status symbol; consequently, Apple does not prioritize lowering prices. Every year, prices are hiked further by introducing new features—such as improved cameras, faster processors, and AI capabilities.

The iPhone 18 series brings upgrades like the A20 Pro chip, a variable-aperture camera, and extended battery life. The 'iPhone Duo' introduces an entirely new form factor; its price is set even higher due to features like a foldable screen, a large display, and a unique design. Costs associated with research and development for new technologies are also passed on to the consumer.

Apple certainly benefits from local manufacturing—saving on tariffs, strengthening the supply chain, and easing exports—but these savings are not fully passed on to the customer, as companies maintain their profit margins. A weakening rupee also contributes to price hikes, given that imported components are purchased in dollars.

The trend of increasingly expensive iPhones continues year after year.
Apple has a long-standing habit of launching pricier models annually. Prices keep rising to sustain new technology, superior performance, and brand value. While increased production in India might offer some relief, iPhones are unlikely to become cheaper as long as the tax system and reliance on imported components remain unchanged.

So, the next time you see a new iPhone and are shocked by the price, remember: manufacturing in India largely involves assembly. The true cost lies hidden in taxes, imported components, and Apple's premium positioning. The iPhone 18 and Duo continue this trend; prices will remain high until the entire supply chain becomes localized or the tax structure changes.

Disclaimer: This content has been sourced and edited from News18 Hindi. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.