Apple Not Able to Open Retail Stores in India Without Selling 30% Locally Sourced Goods

Apple's plan to open three Apple Store locations in India may fall through following a ruling from the Indian finance ministry that says Apple must sell locally sourced goods if it wants to open stores in the country, reports Reuters.

In India, 30 percent of goods sold by foreign companies must be manufactured or produced in the country, a requirement Apple does not meet as its products are largely made in China. India last year exempted retailers selling state-of-the-art goods from the rule, prompting Apple to file a new application with the Indian government.

indian_flag
Apple was expected to receive an exemption from the rule, earning a recommendation from country's Department of Industrial Policy and Promotion, but the ministry of finance has decided Apple's products do not fall into the cutting-edge technology category. A source told Reuters Apple did not provide enough material to justify the exemption.

"They did ask for a waiver but didn't provide any material on record to justify it. The decision was taken only after a thorough examination of their application," the source said.

The waiver is available only for investment in "state of the art" or "cutting-edge technology", he added.

Without the ability to open its own retail stores in the country, Apple will need to continue selling iOS and Mac devices in India through third-party distributors. Apple is eager to expand its business in India as it is a largely untapped market. Last quarter, Apple saw its revenue from India grow 56 percent, surpassing $1 billion.

The ministry of finance's ruling comes just after Tim Cook spent several days in India, where he met with Prime Minister Narendra Modi and other local business leaders, actors, politicians, and developers.

Apple has also announced the launch of a Maps development center in Hyderabad and an iOS app and design accelerator in Bangalore.

Tag: India

Popular Stories

iphone 16 pro models 1

Here's How the iPhone 17 Pro Max Will Compare to the iPhone 17 Pro

Saturday July 5, 2025 1:00 pm PDT by
Apple should unveil the iPhone 17 series in September, and there might be one bigger difference between the Pro and Pro Max models this year. As always, the Pro Max model will be larger than the Pro model:iPhone 17 Pro: 6.3-inch display iPhone 17 Pro Max: 6.9-inch displayGiven the Pro Max is physically larger than the Pro, it has more internal space, allowing for a larger battery and...
iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro to Reverse iPhone X Design Decision

Monday July 7, 2025 9:46 am PDT by
Since the iPhone X in 2017, all of Apple's highest-end iPhone models have featured either stainless steel or titanium frames, but it has now been rumored that this design decision will be coming to an end with the iPhone 17 Pro models later this year. In a post on Chinese social media platform Weibo today, the account Instant Digital said that the iPhone 17 Pro models will have an aluminum...
imac video apple feature

Apple Launching These 15+ Products Later This Year

Sunday July 6, 2025 8:05 am PDT by
The calendar has turned to July, meaning that 2025 is now more than half over. And while the summer months are often quiet for Apple, the company still has more than a dozen products coming later this year, according to rumors. Below, we have outlined at least 15 new Apple products that are expected to launch later this year, along with key rumored features for each. iPhone 17 Series iPho...
iOS 26 Feature

Everything New in iOS 26 Beta 3

Monday July 7, 2025 1:20 pm PDT by
Apple is continuing to refine and update iOS 26, and beta three features smaller changes than we saw in beta 2, plus further tweaks to the Liquid Glass design. Apple is gearing up for the next phase of beta testing, and the company has promised that a public beta is set to come out in July. Transparency In some apps like Apple Music, Podcasts, and the App Store, Apple has toned down the...
iPhone Car Key Kia

Here's Which Vehicles Offer iPhone Car Keys

Sunday July 6, 2025 3:03 pm PDT by
In 2020, Apple added a digital car key feature to its Wallet app, allowing users to lock, unlock, and start a compatible vehicle with an iPhone or Apple Watch. The feature is currently offered by select automakers, including Audi, BMW, Hyundai, Kia, Genesis, Mercedes-Benz, Volvo, and a handful of others, and it is set to expand further. Apple has a web page with a list of vehicle models that ...
iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro Coming Soon With These 14 New Features

Friday July 4, 2025 1:05 pm PDT by
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are just over two months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models. Latest Rumors These rumors surfaced in June and July:Apple logo repositioned: Apple's logo may have a lower position on the back of the iPhone 17 Pro models, compared to previous...
iphone 17 pro render majin bu

New iPhone 17 Pro Renders Highlight Apple Logo and MagSafe Design Changes

Sunday July 6, 2025 8:43 pm PDT by
New renders today provide the best look yet relocated Apple logo and redesigned MagSafe magnet array of the iPhone 17 Pro and iPhone 17 Pro Max. Image via Majin Bu. Several of the design changes coming to the iPhone 17 Pro model have been rumored for some time, such as the elongated camera bump that spans the full width of the device, with the LiDAR Scanner and flash moving to the right side. ...
iPhone 14 Pro Dynamic Island

iPhone 17 Models Rumored to Feature Redesigned Dynamic Island

Monday July 7, 2025 7:38 am PDT by
iPhone 17 models will feature a redesigned Dynamic Island user interface, according to a post today from Digital Chat Station, an account with more than three million followers on Chinese social media platform Weibo. The account has accurately leaked some information regarding future Apple products in the past. The account did not share any specific details about the alleged changes that are ...
Prime Day 25 Feature Warm Triad

The Best Prime Day Deals on AirPods, iPads, MacBooks, and More

Monday July 7, 2025 10:55 am PDT by
Amazon is back with its annual summertime Prime Day event, lasting for four days from July 8-11, the longest Prime Day yet. As it does every year, Prime Day offers shoppers a huge selection of deals across Amazon's storefront. With the event now underway, we're tracking numerous all-time low prices on Apple gear right now. Note: MacRumors is an affiliate partner with Amazon. When you click a...

Top Rated Comments

redheeler Avatar
119 months ago
but the ministry of finance has decided Apple's products do not fall into the cutting-edge technology category
16 GB base storage on iPhones, lack of 4K support on Apple TV, and a Mac Pro that hasn't been updated since 2013. I wouldn't call that cutting-edge either to be honest.
Score: 103 Votes (Like | Disagree)
discounteggroll Avatar
119 months ago
but the ministry of finance has decided Apple's products do not fall into the cutting-edge technology category

if that isn't a slap in the face, I don't know what is
Score: 101 Votes (Like | Disagree)
smacrumon Avatar
119 months ago
India really is putting Apple under the pump. Good on India for trying to negotiate a deal that suits their country's own objectives instead of simply accepting another corporation setting up shop, using the workers only to then move on with little benefit to the country. Play hard ball, India.
Score: 82 Votes (Like | Disagree)
macduke Avatar
119 months ago
but the ministry of finance has decided Apple's products do not fall into the cutting-edge technology category.
It's probably that ancient 5400rpm mechanical hard drive technology in the iMac that did them in, lol. That or the last Mac Mini [S]update[/S] regression.
Score: 52 Votes (Like | Disagree)
usarioclave Avatar
119 months ago
"The waiver is available only for investment in "state of the art" or "cutting-edge technology", he added."

Looks like someone forgot to do the needful to the right person. Bummer.

It's hard to tell what cutting edge in India means. Running water and toilets? Air conditioning?
Score: 37 Votes (Like | Disagree)
Small White Car Avatar
119 months ago
This sounds REMARKABLY similar to how Apple demands 30% of your income if you want your app in their bright and shiny App Store.

But sure, everyone complain about it as if India invented something brand new out of thin air.
Score: 33 Votes (Like | Disagree)