If the govt reduces taxes, doesnt that incentivize apple to just make them elsewhere and ship to India?
I thought high taxes are the incentive to start manufacturing or assembly locally.
High tariffs are an incentive. Not taxes. Import tax == tariff basically.
Aren't tariffs and taxes the same thing? In this context, import taxes are tariffs.
Certainly there is an inflection point where demand meets a taxed price that would cause Apple to build a factory in India. If Apple is not currently building a factory in India, then that point has not been reached and the result is just higher prices for Indians.
The tax isn't just designed to make Apple and others move to India, it's to give an advantage to local manufacturers over foreign ones. Now whether or not local phone companies are starting/growing in India as a result of this tax, I don't know
iPhone in India is not for an average consumer, it is just a show off phone