Indonesia rejects $100 million offer from Apple

 

Last month, Indonesia banned the marketing and sale of the iPhone 16 model because Apple failed to meet local investment regulations.

Indonesia rejected a $100 million investment proposal from Apple aimed at lifting the ban on iPhone 16 sales. Jakarta said the proposal was unfair, AFP reported.

Last month, Indonesia banned the marketing and sale of the iPhone 16 model because Apple failed to meet local investment regulations requiring 40 percent of the phones to be made from local parts.

After the ban, Apple offered to increase its investment in Indonesia by $100 million to allow the new phone to be sold domestically.

But Industry Minister Agus Gumiwang Kartasasmita said Apple had not met the government's requirements, especially compared with the tech giant's investments in other countries.

"Currently, Apple has not yet invested in manufacturing facilities or factories in Indonesia," Kartasasmita said.

He said the ministry is urging Apple to immediately set up a manufacturing facility or factory in Indonesia "based on the principles of fairness."

Despite the sales ban, the Indonesian government still allows the iPhone 16 to be brought into Indonesia if it is not for commercial purposes.

The government estimates that around 9,000 units of the new model have entered the country in this way. 
Indonesia has also banned the sale of Google Pixel phones as they do not meet the 40% parts requirement.

Around 22,000 Google Pixel phones have entered the country this year despite the ban. | BGNES