Indonesia's industry ministry is gearing up for discussions with representatives from Apple, focusing on the tech giant's investment in the country, which is essential for the sale of the highly anticipated iPhone 16 in the region.
At the end of 2024, Indonesia imposed a sales ban on the iPhone 16 due to Apple's inability to meet the local requirement that at least 40% of smartphone components must be produced within the country. Currently, Apple lacks manufacturing facilities in Indonesia, a market with considerable potential thanks to its population of 280 million. The tech company has, however, been running application developer academies in Indonesia since 2018. To align with the nation’s local content regulations, Apple is obliged to commit to new investments every three years. Their previous investment of $10 million concluded in 2023, leading to the necessity for a new agreement for the period from 2024 to 2026. Indonesian officials emphasize that these regulations are intended to promote fair competition among domestic and foreign investors. While consumers can buy restricted Pixel and iPhone models from abroad, tourists visiting Indonesia are free to bring their devices without facing any compliance issues, ensuring that travelers can enjoy their exotic destinations without concern.
Apple's team of executives will meet with the Industry Ministry to address the pending investment obligations and proposals from Apple.
– Industry Ministry spokesperson Febri Hendri, January 2025.
At the end of 2024, Indonesia imposed a sales ban on the iPhone 16 due to Apple's inability to meet the local requirement that at least 40% of smartphone components must be produced within the country. Currently, Apple lacks manufacturing facilities in Indonesia, a market with considerable potential thanks to its population of 280 million. The tech company has, however, been running application developer academies in Indonesia since 2018. To align with the nation’s local content regulations, Apple is obliged to commit to new investments every three years. Their previous investment of $10 million concluded in 2023, leading to the necessity for a new agreement for the period from 2024 to 2026. Indonesian officials emphasize that these regulations are intended to promote fair competition among domestic and foreign investors. While consumers can buy restricted Pixel and iPhone models from abroad, tourists visiting Indonesia are free to bring their devices without facing any compliance issues, ensuring that travelers can enjoy their exotic destinations without concern.