Indonesia Considers Apple's $100 Million Investment to Lift iPhone 16 Ban
Apple's bid to meet Indonesia's local manufacturing requirements
Indonesia is evaluating a $100 million investment proposal from Apple Inc. aimed at lifting a sales ban on its iPhone 16.
The Southeast Asian nation received Apple's proposal, which includes establishing a manufacturing plant for accessories and components, according to a statement from the Ministry of Industry.
Industry Minister Agus Gumiwang Kartasasmita, who previously blocked the iPhone 16 sale due to unmet domestic content requirements, will meet to discuss the proposal.
The ministry's spokesperson, Febri Hendri Antoni Arif, indicated that the minister is receptive to Apple's investment commitment.
Apple had initially offered close to $10 million before increasing its proposal nearly tenfold.
The ban, citing Apple's failure to fulfill a 40% local content mandate, also affects Alphabet Inc's Google Pixel phones.
This move is part of Indonesia's broader strategy under President Prabowo Subianto to encourage international companies to enhance local manufacturing, benefiting domestic industries.
The government similarly pressured ByteDance Ltd's TikTok to separate its shopping feature from its video service to protect local retail from foreign competition.