What you need to know
- Apple could start selling iPhones online in India.
- It was previously prevented from doing so with a rule that forced companies to source 30% of their production locally.
- That was an issue as most of Apple's production is based in China, but with the rules being eased, it opens the door for online sales and more.
Apple could soon start selling iPhones in India online. According to a report from Bloomberg, India eased rules that forced companies to source a number of their production in India, and in the process allowing them to set up online stores and eventually physical stores.
India's rules previously forced companies like Apple to source at least 30% of their production locally, but now that number will include exports. It bypasses Apple's problem with having most of its manufacturing based in China.
It will now allow Apple to sell its products online before setting up brick and mortar stores, which Apple still plans to do.
The Cupertino-based device and services company will begin selling its iPhone, iPads and Apple Mac computers online in the coming months. It's also firming up the Mumbai location of its first company-owned brick & mortar store in India -- likely to open next year -- the person said, asking not to be identified as the details are confidential. Selling online will be a big step forward for Apple in a country where counterfeit products abound in online platforms increasing buyers' distrust.
The move is beneficial for both sides. With the ongoing trade war between the U.S. and China, it could help incentivize Apple to move a larger portion of its supply chain to India to reduce its dependency on China. As a result, more jobs would arrive in India helping to boost the economy.
Apple declined to comment on the story.
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