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skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
I am Brazilian and I currently use three Apple products: a white MacBook (which I bought in 2008), an iPhone 4S (my first iPhone, which I bought this year) and an iPod Touch (my third iPod, actually).

You may have heard that Apple products are very pricey in Brazil, and that is due to the heavy (and abusive) taxes imposed by the government on consumer products. Steve Jobs himself once said that the super crazy tax policies of Brazil made it "very unattractive to invest in the country".

For your information, see below some examples of the prices of Apple products in Brazil in comparison with prices in the U.S. (both were taken from the online Apple Store of each country; the prices were converted from Brazilian Reais to U.S. Dollars according to the exchange rate as of today: US$ 1 = R$ 1,82):

iPod Shuffle 2GB: US$ 49 (US), US$ 126 (Brazil)
iPod Nano 8GB: US$ 129 (US), US$ 318 (Brazil)
iPod Nano 16GB: US$ 149 (US), US$ 373 (Brazil)
iPod Touch 16GB: US$ 199 (US), US$ 395 (Brazil)
iPod Touch 32GB: US$ 299 (US), US$ 582 (Brazil)
iPod Touch 64GB: US$ 399 (US), US$ 774 (Brazil)
iPod Classic: US$ 249 (US), US$ 505 (Brazil)
iPhone 3GS: US$ 375 (US), US$ 659 (Brazil)
iPhone 4 8GB: US$ 549 (US), US$ 988 (Brazil)
iPhone 4S 16GB: US$ 649 (US), US$ 1,428 (Brazil)
iPhone 4S 32GB: US$ 749 (US), US$ 1,648 (Brazil)
iPhone 4S 64GB: US$ 849 (US), US$ 1,867 (Brazil)
iPad 2 16GB Wi-fi: US$ 399 (US), US$ 769 (Brazil) [price in Brazil dropped after the new iPad was announced in the US]
iPad 2 16GB 3G: US$ 529 (US), US$ 1,015 (Brazil) [price in Brazil dropped after the new iPad was announced in the US]
Apple TV: US$ 99 (US), US$ 219 (Brazil)
MacBook Air 11", 64GB: US$ 999 (US), US$ 1,647 (Brazil)
MacBook Air 11", 128GB: US$ 1,199 (US), US$ 1,922 (Brazil)
MacBook Air 13", 128GB: US$ 1,299 (US), US$ 2,087 (Brazil)
MacBook Air 13", 256GB: US$ 1,599 (US), US$ 2,856 (Brazil)
MacBook Pro 13", 2.4 GHz: US$ 1,199 (US), US$ 1,977 (Brazil)
MacBook Pro 13", 2.8 GHz: US$ 1,499 (US), US$ 2,746 (Brazil)
MacBook Pro 15", 2.2 GHz: US$ 1,799 (US), US$ 3,680 (Brazil)
MacBook Pro 15", 2.4 GHz: US$ 2,199 (US), US$ 4,395 (Brazil)
MacBook Pro 17", 2.4 GHz: US$ 2,499 (US), US$ 5,054 (Brazil)
Mac Mini 2.3 GHz: US$ 599 (US), US$ 988 (Brazil)
Mac Mini 2.5 GHz: US$ 799 (US), US$ 1,483 (Brazil)
Mac Mini Server: US$ 999 (US), US$ 1,812 (Brazil)
iMac 21" 2.5 GHz: US$ 1,199 (US), US$ 2,197 (Brazil)
iMac 21" 2.7 GHz: US$ 1,499 (US), US$ 3,076 (Brazil)
iMac 27" 2.7 GHz: US$ 1,699 (US), US$ 3,516 (Brazil)
iMac 27" 3.1 GHz: US$ 1,999 (US), US$ 4,065 (Brazil)
Mac Pro 4-core: US$ 2,499 (US), US$ 4,560 (Brazil)
Mac Pro 8-core: US$ 3,499 (US), US$ 6,373 (Brazil)
Mac Pro 12-core: US$ 4,999 (US), US$ 9,257 (Brazil)

Yes, the low-end 11" MacBook Air in Brazil is more expensive than the high-end 13" MacBook Air in the US. The low-end 21"iMac in Brazil is more expensive than the high-end 27" iMac in the US. The iPhone 3GS is more expensive in Brazil than the iPhone 4S in the US. And so on. Insane, isn't it?
 

iJohnHenry

macrumors P6
Mar 22, 2008
16,530
30
On tenterhooks
Is this also true of PC's, or are they taxing the 'smart' for choosing Apple products; perhaps on the basis that they probably earn more, and can afford it?
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
Is this also true of PC's, or are they taxing the 'smart' for choosing Apple products; perhaps on the basis that they probably earn more, and can afford it?

It is true for every PC. In fact, laptops by other manufacturers may be even more expensive. An Asus Zenbook 13" with a 256 GB SSD, which sells for US$ 1,424 at Amazon.com, costs a whooping US$ 3,300 in Brazil.
 

iJohnHenry

macrumors P6
Mar 22, 2008
16,530
30
On tenterhooks
It is true for every PC. In fact, laptops by other manufacturers may be even more expensive. An Asus Zenbook 13" with a 256 GB SSD, which sells for US$ 1,424 at Amazon.com, costs a whooping US$ 3,300 in Brazil.

Is there a home industry that they are trying to protect, or do they just double everything from off-shore?

I seem to remember Australia protecting Holden with stiff import duties on foreign cars.
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
I'm not really sure what your point is, but yes, they are expensive in Brazil.

I just wanted to make an informative topic on this issue. Users on the forum tend to ignore that prices in other countries may be very different from the prices in the U.S. Brazil is one of the most expensive countries in the world for consumer products, and Apple products are not an exception. As a result, a high-end 15" MacBook Pro or a 17" MacBook Pro (which sell for over US$ 4,000) is simply not an option for a Brazilian consumer, especially if you consider that Brazil has a GDP per capita of about US$ 12,000 a year.
 

McGiord

macrumors 601
Oct 5, 2003
4,558
290
Dark Castle
That is not only in Brazil, many other countries in the world suffer the same fate with imported goods.

The interesting thing is that there are new factories in Brazil producing Apple products. Will the price be reasonable after they are produced there? I don't think so. If they sell enough units with the current prices, they will keep selling them at the same price.
Is there any sign of the prices going down in the near future there?

----------

I just wanted to make an informative topic on this issue. Users on the forum tend to ignore that prices in other countries may be very different from the prices in the U.S. Brazil is one of the most expensive countries in the world for consumer products, and Apple products are not an exception. As a result, a high-end 15" MacBook Pro or a 17" MacBook Pro (which sell for over US$ 4,000) is simply not an option for a Brazilian consumer, especially if you consider that Brazil has a GDP per capita of about US$ 12,000 a year.

I disagree with you.
Things made in Brazil are not that expensive, there are other countries where things cost more.

I had travel to Brazil in the past, and had the opportunity to buy plenty of things there:
Clothes and Ladies' Swim Suits.
CDs and DVDs made in the Manaus area.
Food.
Beers.
Churrascarias!
Everything that is not made in Brazil is and will be very expensive, unless they are coming from a Mercosul country, or the country changes its taxes policies.
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
Is there a home industry that they are trying to protect, or do they just double everything from off-shore?

I seem to remember Australia protecting Holden with stiff import duties on foreign cars.

Well, in fact, taxes are a very complicated issue in Brazil. The government has a long history of imposing very heavy taxes on imports, and this protectionism would supposedly help develop the local industry. This tax policy has always been imposed on nearly all consumer products, and not to protect a specific industry. However, despite several decades of this heavy protectionism, industry in Brazil, although somewhat developed, has always been sub-par.

Taxes on local products are also very high. There are several taxes owed to the Federal Government, to the States and also to the Municipalities (such as IPI, ICMS, ISS and so on) and which help boost the prices of all consumer products (an iPhone or an iPad produced in Brazil by Foxconn cost the same as an iPhone or an iPad produced abroad). Therefore, the government must also keep the prices of imports high in order to make local products somewhat competitive.

There are several reasons why taxes in Brazil are so high. The government spends a lot of money, and in a very inefficient way. Brazil has more than 10 million civil servants and the largest development bank in the world. In addition, corruption is very high.

----------

That is not only in Brazil, many other countries in the world suffer the same fate with imported goods.

Yes, but not to the same degree. The price of consumer products in Brazil are much higher than in European countries or in other South American countries.

The interesting thing is that there are new factories in Brazil producing Apple products. Will the price be reasonable after they are produced there? I don't think so. If they sell enough units with the current prices, they will keep selling them at the same price.
Is there any sign of the prices going down in the near future there?

No, the prices are not going down. The mixture of high taxes and corruption makes it very difficult for prices to drop.
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
I disagree with you.
Things made in Brazil are not that expensive, there are other countries where things cost more.

North Korea, perhaps?

I found the following chart at http://www.phone-guide-germany.com/iphone-4s-prices-europe/6380/ with the prices of the iPhone 4S in different European countries, in Euros:

Purchase Prices for iPhone 4S at Apple Stores

iPhone 4S 16 GB iPhone 4S 32 GB iPhone 4S 64 GB
Austria 629 739 849
Belgium 649 759 879
Czech Republic 587 688 810
Danmark 631 739 846
Finland 629 739 849
France 629 739 849
Germany 629 739 849
Hungary 631 741 847
Ireland 599 699 799
Italy 659 779 899
Luxemburg 617 721 835
Netherlands 599 699 799
Norway 637 754 872
Spain 599 699 799
Sweden 642 753 864
Switzerland 531 613 736
UK 567 681 795

The price of the 16GB iPhone 4S in Brazil is 1,092 euros, still much higher than the 64GB iPhone 4S in any of these countries.

I had travel to Brazil in the past, and had the opportunity to buy plenty of things there:
Clothes and Ladies' Swim Suits.
CDs and DVDs made in the Manaus area.
Food.
Beers.
Churrascarias!
Everything that is not made in Brazil is and will be very expensive, unless they are coming from a Mercosul country, or the country changes its taxes policies.

It depends on what you bought, where you bought, and when you bought. Where have you been to?

"Churrascarias" used to be much cheaper than they are now. The price of meat has risen more than 100% in the last four years.

Not even beer I found to be cheap in Brazil. I found a 500mL can of a Brazilian beer (Skol) for 0.33 euro in a supermarket in Salzburg (Austria). A few days later, I found a 350mL can of the very same beer selling for 0.60 euro in a supermarket in São Paulo.
 

malman89

macrumors 68000
May 29, 2011
1,651
6
Michigan
I used to know a guy from Brazil who came to the US at least every other year (if not annually) for two reasons - attend a conference and then raid the electronics stores for cheaper priced products. It got to the point where they were equal motivators at best, if not more so toward the electronics purchases.
 

chickenwingfly

macrumors 6502a
Mar 8, 2012
633
22
Here in Colombia the only "good priced" items are the iPad because for some reason they have taxes exemption.
Needless to say, they are a bit more expensive than say, the Apple Store because they need to pay for the bills (the few retail Apple associate shops).
So they charge the USD on the Apple Store + Shipping from the US + Their Bills + Profits.

Sometimes it is ridiculous, I understand for other articles like clothing, to be imposed high taxes to help develop the local industries... but as for technology? Don't make me laugh...
What if people wouldn't get tech products here in Colombia form outside... I don't see any company developing anything worth rivalry with an old Nokia 1100... so there you have it.

But since Colombia is the country of the Sacred Heart... there are workarounds :D

Oh and the iPhone hahaha... that's like double the price and a bit more, compared to the one from the Apple Store.
The difference is, it being sold LOCKED and with a year contract.
That's why I'm getting an iPhone UNLOCKED and contract free from the Apple Store, using it with prepay data and voice plan, and it will be cheaper than getting it down here, "locally".

Oh and by the way, the usual legal cheap workaround for getting stuff is asking your relatives there (I have the feeling everybody and their mother in South America have a relative in the US who went to live in the search for the "American Dream") to bring stuff down here. For many people it works wonders.

But all in all and to end this book, more than 1.000 Euros for the iPhone 4s 16 GB? I feel ya dear south american brother.
Fawk, that's insanely rip-off-ish.
 

keith25

macrumors newbie
Apr 6, 2012
5
0
It is not strange! The prices of Apple products are different in many countries due to a range of reasons.
 

McGiord

macrumors 601
Oct 5, 2003
4,558
290
Dark Castle
I have been to Sao Paulo and Rio.

Any original electronic device will always be found at the lowest price in the US.
Even considering the air ticket and travel expenses, sometimes makes sense to travel and buy, and pay less.
We could use some 'international' sales boost.

Other countries are:
Argentina, Colombia, Venezuela, Peru, Ecuador, Bolivia, Nicaragua, Guatemala, Honduras, Costa Rica, Paraguay, Uruguay, etc

One thing for sure is that there is nothing like the brazilian steak houses "Churrascarias", there are some out there in different countries but they will never be the same as the ones in Brazil.
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
It is not strange! The prices of Apple products are different in many countries due to a range of reasons.

Yes, the prices are different due to a range of reasons. However, a huge difference (of more than 100%) is, while not strange, worrying.

Take a look at this article (when the iPhone 4S launched in Brazil, it was priced about US$ 2,000 due to the exchange rate being a little different): http://9to5mac.com/2011/12/16/why-does-iphone-4s-cost-2000-in-brazil-and-what-does-apple-plan-to-do-about-it/
 

eric/

Guest
Sep 19, 2011
1,681
20
Ohio, United States
wow I wasn't' aware of this at all. That's crazy that the prices are so much higher. Now I know why my German friend was wanting to buy an iPhone here.
 

Nabooly

macrumors 6502a
Aug 28, 2007
849
5
I have been to Sao Paulo and Rio.

Any original electronic device will always be found at the lowest price in the US.
Even considering the air ticket and travel expenses, sometimes makes sense to travel and buy, and pay less.
We could use some 'international' sales boost.

Other countries are:
Argentina, Colombia, Venezuela, Peru, Ecuador, Bolivia, Nicaragua, Guatemala, Honduras, Costa Rica, Paraguay, Uruguay, etc

One thing for sure is that there is nothing like the brazilian steak houses "Churrascarias", there are some out there in different countries but they will never be the same as the ones in Brazil.

I love the churrascarias! I've been to a few here in the US and my favorite has been Fogo de Chao in Chicago! Delicious!

My mom was born in Brazil so she makes brazilian food all the time, and I love it!

About the electronics, family we have over there always "order" stuff from us to send over there (lots of people come back and forth from brazil). And they're always either electronics or brand name clothing (LV, gucci, etc.). They think all this stuff is extremely cheap over here. I recall once when I was younger my aunt in Brazil asked my mom to get her a good vaccum! Lol

I can see someone making a lot of money buying and selling, of course that would be illegal :rolleyes:

Edit: Wanted to add this. In 2010 I went to Lebanon in the middle east for 2 months and bought an iPad before I went for the trip. 16gb wifi model. Got it for $499 used on ebay with the original apple case. I was walking in downtown beirut with it and some guy came up to me and offered $1,000 USD for it. :eek: I would have sold it on the spot but didn't have any of the accessories with it, just the iPad. And i was leaving that day. :/ Could have made a huge profit haha
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
Now, perhaps the undisputable champion in prices in Brazil is this one:

retina MacBook Pro 15", 2.3 GHz: US$ 5,000
retina MacBook Pro 15", 2.6 GHz: US$ 6,300

Just unaffordable. Unfortunately, I'm never buying one of these.
 

McGiord

macrumors 601
Oct 5, 2003
4,558
290
Dark Castle
Now, perhaps the undisputable champion in prices in Brazil is this one:

retina MacBook Pro 15", 2.3 GHz: US$ 5,000
retina MacBook Pro 15", 2.6 GHz: US$ 6,300

Just unaffordable. Unfortunately, I'm never buying one of these.
There are ways around it.
Get a cheap flight to Miami, go to an Apple Store and buy it. Have fun in Miami. Flight back home.
You will pay way less than that.
Or buy it online have it shipped to a local address in the US, and then pick it up personally or have someone of your trust bringing it to you.
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
There are ways around it.
Get a cheap flight to Miami, go to an Apple Store and buy it. Have fun in Miami. Flight back home.
You will pay way less than that.
Or buy it online have it shipped to a local address in the US, and then pick it up personally or have someone of your trust bringing it to you.

Well, a cheap flight to Miami will cost me at least US$ 800, without the hotel room. Of course there's always the possibility of someone bringing it to me. Anyway, I'll have to pass the Brazilian customs, which charge 60% as import tax of any amount exceeding US$ 500 if I choose to declare the product. If I choose not to declare and the customs officer finds out that I'm bringing more than US$ 500 worth of items, they'll charge 100% (import taxes + fine) of anything that exceeds US$ 500. Very high taxes.
 

McGiord

macrumors 601
Oct 5, 2003
4,558
290
Dark Castle
Well, a cheap flight to Miami will cost me at least US$ 800, without the hotel room. Of course there's always the possibility of someone bringing it to me. Anyway, I'll have to pass the Brazilian customs, which charge 60% as import tax of any amount exceeding US$ 500 if I choose to declare the product. If I choose not to declare and the customs officer finds out that I'm bringing more than US$ 500 worth of items, they'll charge 100% (import taxes + fine) of anything that exceeds US$ 500. Very high taxes.

Aren't there any exceptions for the custom taxes, like if it is your personal computer aren't you allowed to get one and avoid paying the taxes?
And can't you take advantage of the Mercosur trade agreements, and get the Apple stuff in any of the other neighbor countries, or do the international flight to the USA through any of them?
 

skaertus

macrumors 601
Original poster
Feb 23, 2009
4,232
1,380
Brazil
Aren't there any exceptions for the custom taxes, like if it is your personal computer aren't you allowed to get one and avoid paying the taxes?

There are exceptions, but only to certain devices such as cell phones, cameras and watches... they do not apply to laptops or tablets. Lots of people bring laptops to Brazil, but there is a risk that they are stopped at the customs.

And can't you take advantage of the Mercosur trade agreements, and get the Apple stuff in any of the other neighbor countries, or do the international flight to the USA through any of them?

I don't know, but I suppose it is not possible.
 
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