Apple has finally broken into the Chinese market, but it comes at a hefty price, literally. In China, the cost of even the cheapest model of iPhone is hundreds of dollars more expensive than in the US. To help reduce the cost to send iOS devices to the Mainland, Foxconn has offered to help out by selling directly China.
According to DigiTimes, Foxconn Electronics will help Apple sell products in China by shipping directly from its plant in Zhengzhou to the domestic market.
“Since China has already become a major market for the IT industry, Apple has been aggressively trying to expand its presence in the country. But Apple needs support, and it is expected to rely on Foxconn to help it provide logistic and after-sale maintenance services in China.”
According to unnamed sources who spoke with DigiTimes, Foxconn and Apple have also reached an agreement with China’s customs authorities. Some products have already begun to ship directly to the market.
The normal route for Apple products in China has them first being shipped to Hong Kong or Shenzhen, China in order to go through proper export channels. The products would then have to be imported back before they could be sold at retail locations.
Being able to ship directly to stores will help reduce import taxes and will, hopefully, reduce the price of products sold in China.
Foxconn is also working with Apple at its plant in Brazil to ship directly to the local market there.