Even though the new iPhone
, to be released on Sept 20, is getting cheaper compared to the iPhone X, the citizens of some countries might not jump for joy at this prospect. In several places around the world, the iPhone is significantly more expensive than in the U.S.
While an iPhone 11 with a memory of 64GB, no contract, trade-in or sim-lock will cost a U.S. customer around US$750, (depending on state and local sales tax), this would still be considered cheap in other countries. Indian consumers must shell out more than the equivalent of US$900 for the exact same phone, making it 19 percent more expensive in the country. The iPhone11 Pro (64GB) is even 29 percent more expensive in India.
One factor making the iPhone more expensive abroad is the low U.S. sales tax of under 10 percent in many places. In Japan, a country with an equally low sales tax, the iPhone is barely more expensive than in the U.S. In France, sales tax for the iPhone 11 is approximately US$160, compared to around US$100 in the U.S.
In the case of India, Apple
does not manufacture in the country. Because India is protecting its markets, Apple has to pay an import duty on iPhones that reflects in the price of the product. Chinese phone makers like Oppo and Xiaomi have set up factories in India and are able to bring their phones to market at a much lower price this way. As a result, the market share of Apple in India is as low as 1 percent.