Apple announced the iPhone SE yesterday for $399 in the United States, which is the most affordable price point it has ever introduced an iPhone at. But in many other launch countries around the world, the new 4-inch smartphone carries a sizeable premium beyond foreign currency exchange rates and taxes.

In Australia, the iPhone SE starts at roughly $679 AUD for the 16GB model, despite $399 USD amounting to around $525 AUD based on the current exchange rate. The 64GB model, which will retail for $499 in the U.S., will be similarly expensive at $829 AUD, compared to the current exchange rate of around $656 AUD.

The price differences are not as dramatic in Canada, where the iPhone SE starts at $579 compared to a currency adjusted price of around $522. But in the United Kingdom, customers will face around a £80 to £90 premium including VAT for the iPhone SE on top of the current $ to £ conversion on the volatile forex market.

iPhone SE prices are inflated in a number of other European countries, including France, Germany, Italy, and Spain, where the 16GB and 64GB models cost €489 and €589 or more respectively with applicable VAT and other taxes added. Comparatively, $399 and $499 USD currently equal around €355 and €444 respectively.

Other countries with higher iPhone SE prices include China, Hong Kong, Japan, New Zealand, Singapore, and elsewhere.

Apple, which reports its quarterly financial results in U.S. dollars, typically adjusts foreign prices based on currency exchange rates, while import charges and duties, VAT, taxes, licensing, and other fees can affect global prices. But even when accounting for those factors, the iPhone SE still appears overpriced in many countries.

Apple’s new 9.7-inch iPad Pro carries similar premiums in countries around the world.

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Source: MAC ROUMORS