Indonesia – Apple has reportedly been barred from marketing and selling its new iPhone 16 in Indonesia due to non-compliance with local investment regulations.
According to a report from Bloomberg, Indonesia’s Ministry of Industry has blocked the domestic sale of the iPhone 16, citing PT Apple Indonesia’s failure to meet the country’s 40% local content requirement for smartphones and tablets.
To meet Indonesia’s local content requirements, Apple must invest in the country. Additional strategies include sourcing materials locally and employing Indonesian workers.
However, in early October, a ministry spokesperson disclosed that Apple had invested only 1.5 trillion rupiah ($95 million) in Indonesia, falling short of its pledged 1.7 trillion rupiah.
Notably, Apple has established four developer academies in Indonesia instead of setting up a manufacturing facility. However, in April, CEO Tim Cook mentioned that the company was exploring the feasibility of local production.
The ministry disclosed that approximately 9,000 iPhone 16 units have entered Indonesia, brought in by travellers or delivered by post. While these devices are permitted for personal use, they are strictly prohibited from being sold commercially.
Although purchasing the iPhone 16 from abroad is an option, Bloomberg noted that this path may be challenging for Indonesian buyers. Since 2020, Indonesia has required all phones bought overseas to be registered with the government and subjected to a significant tax.
The ministry also clarified that Apple’s older products remain available for sale in Indonesia.
