Tim Hardwick
Apple has proposed investing about $10 million in manufacturing operations in Indonesia to lift the country’s recent ban on sales of the iPhone 16, people familiar with the matter said (via South China Morning Post).
The investment would set up a factory in Bandung, near Jakarta, where Apple would work with its suppliers to make accessories and components for Apple devices. The proposal has been submitted to Indonesia’s Industry Ministry for review.
The investment in manufacturing comes in response to Indonesia’s blocking of sales of the iPhone 16 last month after Apple’s local unit was found to have failed to meet the country’s requirement for 40% domestic content in the smartphones. The ban is part of a broader protectionist policy implemented by the administration of new President Prabowo Subianto, which has also restricted sales of Google’s Pixel phones for similar reasons.
Indonesia is a significant market for Apple, with a population of 280 million and around 354 million active mobile phones. Apple has set up four developer academies in Indonesia to train students and engineers, but officials in the country are pushing for more substantial manufacturing investments.
The proposed $10 million facility would be Apple’s first manufacturing presence in Indonesia, potentially helping the company comply with local content requirements. The Industry Ministry is currently reviewing the proposal and is expected to make a decision soon.
About 9,000 units of the iPhone 16 have entered Indonesia through personal imports, but the devices are limited to personal use and cannot be sold commercially under the current ban.
Tag: Indonesia [ 51 comments ]
