Apple’s lineup and other devices announced this fall are banned from sale in Indonesia. This is because Apple has not been able to meet its local investment commitment of about $15 million.
It is said to have invested 1.48 trillion rupiah ($94 million) out of the 1.71 trillion rupiah ($109 million) it had promised to spend on local procurement and infrastructure development to meet Indonesia’s requirements. Because Apple does not meet the investment criteria, the Ministry of Industry has not issued the necessary certification to sell Apple’s latest products there. The ban does not affect older Apple devices, which the company can still sell in the country.
Indonesia’s local content rules require that certain devices sold in Indonesia must contain at least 40% “local content.” This can be achieved, for example, by using domestically sourced materials, having a manufacturing plant, or employing local workers. Apple has set up four developer academies in Indonesia and was considering one earlier this year. Samsung and Xiaomi are among the smartphone manufacturers that currently have factories in the country.
Without investing the remaining $15 million needed to meet the standards, Apple will be unable to sell its latest products in Southeast Asia’s largest economy, which could prove short-sighted. Although it is not the most popular smartphone brand in Indonesia (not even in the top 6). bloomberg Note: Apple has room to grow. Indonesia is a $1 trillion economy and its young population is said to be increasingly tech-savvy. The government also reports that there are 350 million mobile phones in use in the country of 270 million people.
According to officials, there are about 9,000 iPhone 16 units in Indonesia. These are either mailed into the country or brought in by hand by crew members and passengers. bloomberg It has been reported that personal use of the mobile phone is allowed, but resale is not allowed. Starting in 2020, mobile phones purchased overseas and brought into the country will be taxed and must be registered with the Indonesian government.
