Despite investment deal, Apple is still banned from selling iPhone 16 in Indonesia

Apple is yet to sell the iPhone 16 in Indonesia despite reaching an agreement to build a local manufacturing facility.

Last year, Indonesia banned Apple from selling the iPhone 16 after the US company failed to meet regulations requiring smartphones sold in the country to include at least 35% locally produced components.

Despite the deal to build an Airtag tracking device manufacturing facility on Batam Island, Apple is still not allowed to sell the iPhone 16 in Indonesia.

Apple recently reached an agreement to build a production facility for its Airtag tracking devices on Indonesia's Batam Island, near Singapore, but it still does not count as locally produced iPhone components, said Indonesian Industry Minister Agus Gumiwang Kartasasmita.

"The Ministry of Industry has no basis to issue a certificate of local content as a way for Apple to get the right to sell iPhone 16, because this production facility is not involved," Mr. Kartasasmita said, adding that Indonesian authorities will only calculate the local content ratio by phone components.

According to Indonesian authorities, the Apple factory planned to be built in this archipelago is worth 1 billion USD and is expected to be operational in 2026.

After a meeting with Apple's vice president of global government affairs Nick Ammann, Kartasasmita said Apple had proposed "innovative investment", which Indonesia objected to.

Apple does not have any manufacturing facilities in Indonesia, a country of about 280 million people, but has set up App Developer Academies there since 2018.

(Source: Reuters)

Source: https://www.baogiaothong.vn/bat-chap-thoa-thuan-dau-tu-apple-van-bi-cam-ban-iphone-16-tai-indonesia-19225010818031721.htm