Indonesia’s investment minister, Rosan Roeslani, said that the country is expecting $1 billion from Apple as an investment. It’s important to note that Indonesia has banned iPhone 16 sales locally because the smartphones must contain at least 40 percent locally-made parts. Apple doesn’t have any manufacturing facilities in Indonesia, so it cannot meet this requirement.
Roeslani further said that Apple should invest even more in the future if it intends to make Indonesia a part of its supply chain. He also remarked on how an Indonesian Apple plant can create jobs.
Previously, Apple had proposed to invest $100 million in building an accessory and component plant in Indonesia. The Indonesian government rejected it due to not meeting “principles of fairness.”
While Apple still doesn’t have local plants to meet the 40 percent local content requirement, it does have application developer academies in Indonesia. That was why older iPhone models could be sold in the country. They remain on sale as of now, and there’s been no indication that Indonesia is looking to ban them currently.
Reuters had contacted Apple for comment on the situation but has yet to receive a reply.
