Earlier, GST Council in India had raised the taxation rate on mobile phones in India from 12% to 18%. The increased GST slab comes into effect from today. Hence, Xiaomi, POCO, and Redmi have announced a price hike on their smartphones.
Xiaomi India MD Manu Kumar tweeted the latest development. He announced that the price increment is applicable across the complete portfolio of Mi, Redmi, and POCO phones in India.
The executives said that Xiaomi follows a rule of not making a profit of more than 5 percent from its hardware products. Hence, the surge in GST rate left the company with no other choice but to hike the price of its phones in India.
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