Apple Could Face Triple Penalty in India Over iPhone USB-C Issue

Several countries have been contemplating the implementation of the USB-C charging port as a means to decrease electronic waste. The European Union was the first to enact regulations requiring the use of USB-C charging ports, prompting Apple to incorporate this change in their iPhone 15 series, thereby abandoning the previous Lightning port. India is now following suit, seeking to enforce a similar law that would require smartphone manufacturers to adopt the new standard charging port. This decision could potentially pose significant challenges for Apple. Discover the details surrounding the iPhone USB-C predicament in India and Apple’s requests to the Indian government.

USB-C charging port law in India

According to a report by 9To5Mac, Apple’s biggest hit would be sales of older iPhones in the country. The first reason is that these are built with Lighting port chargers. Therefore, Apple may be forced to stop manufacturing and selling older iPhones due to the upcoming law. In India, Apple’s customers are mostly dependent on the older models of the iPhone models manufactured in India.

Second, because of India’s Production Linked Incentives (PLI), the iPhone maker has certain production volume targets to meet in order to take advantage of the tax, and it also imposes penalties if the target set by the Indian government is not met. Therefore, if the law is implemented in the country, Apple will not be able to meet the target, resulting in higher manufacturing costs for iPhones.

And thirdly, after the manufacturing fiasco of the Covid years, Apple is planning to expand to other countries like India to make sure it doesn’t happen again. However, this goal would also fail.

What Apple wants

According to a Reuters report, Apple is seeking an exemption from the Indian government for some of its older iPhone models. It is also asking for a delay in law enforcement so that it can meet the production target for Indian customers. “If the regulation is implemented on earlier mobile phone models, they (Apple) will not be able to meet the PLI targets,” Apple said in a meeting with Indian regulators.

So far, it has been reported that India will implement the USB-C charging port law for all devices, not just upcoming ones. The law is planned to enter into force by June 2025. India’s IT ministry is said to have taken note of the issue and will take a decision later.