Apple finally gets green light from Indonesia to sell iPhone 16

Apple has received the green light from the Indonesian government to sell iPhone 16 in the country after months of restrictions, according to Industry Minister Agus Gumiwang Kartasasmita. The deal comes after Apple committed to significant local investments to meet Indonesia's domestic content requirements.

Kartasasmita announced at a press conference last week that an agreement had been reached. The ban, which had been in place since October 2024, stemmed from Indonesia's regulation mandating that 40% of smartphone components be sourced locally. Apple initially struggled to comply, leading to a temporary halt in iPhone 16 sales.

To resolve the issue, Apple has pledged substantial investments in Indonesia. The company's supplier, Luxshare, will invest US$150 million to build a factory in Batam, which will produce AirTags and supply 65% of the global market. Additionally, Apple plans to establish a production facility in Bandung to manufacture mesh fabric for AirPods Max headphones.

Don't miss: Apple’s $1b commitment fails to lift iPhone 16 ban in Indonesia

Another key initiative is the launch of Apple's first research and development centre in Asia, located in Indonesia. The centre will focus on software innovation and collaborate with 15 leading Indonesian universities. Apple will also expand its developer academies and other educational programmes, further investing in training initiatives across Indonesia.

With a population of over 280 million, Indonesia is a significant market for Apple. The Indonesian government is in the process of issuing the required local content certification. According to the industry ministry, iPhone 16 sales in Indonesia could begin as early as March.

This agreement marks a turning point for Apple in Indonesia, ensuring compliance with local regulations while reinforcing its long-term commitment to the market. Apart from iPhone 16, Indonesia has imposed a similar restriction on the Google Pixel smartphones for the same reason over domestic content requirements.

Related articles:
Apple and Google face phone bans in Indonesia
Apple's CNY shot on iPhone 16 film is a nostalgic, dreamlike musical
Study: What SEA thinks of Apple's iPhone 16 launch