Source say mass-production will begin in "the next couple of weeks". Local manufacturing could cut prices by 5-7 percent, according to the report, if Apple manages to make all iPhone 6S Pluses sold in the Indian market domestically.
A report by the Economic Times, which cites two senior industry executives, claims that Taiwanese contract manufacturer Wistron has begun a trial production run of the iPhone 6s Plus model at its Bengaluru facility in India. It has set up a new assembly for the production of iPhone 6s Plus. To that end, the iPhone SE - Apple's only iPhone with a 4-inch screen - is already manufactured in Indian factories, providing the government with the jobs it seeks while diminishing taxes on that model.
Apple started assembling the iPhone in India in an effort to reduce costs for local consumers. If prices drop that low, iPhones could become as affordable as OnePlus phones or certain Samsung phones, The Economic Times notes. Which, if true, could bring down the price of the iPhone to the mid-budget segment.
Local assembly of iPhone SE since May previous year helped the model to be insulated from a 6-7% price hike that Apple had to undertake as the basic custom duty on smartphones was increased to 15% from 10% in December and again to 20% in February. The reason why Indian government is doing this is to boost the local smartphone economy within the country.
So even if Apple assembles iPhones in India, the customs duty on imported components will keep the expenses high, according to IBTimes. "Eventually, as the local capacity gains scale the prices will get corrected".
Partner Wistron has already started trial production of the iPhone 6s Plus at its Bengalore plant, where it has been assembling the iPhone SE since previous year.
The report adds that earlier this month, the government imposed a 10 per cent custom duty on components like printed circuit boards populated with memory and chips, camera modules and connectors.