iPhone 16 Ban in Indonesia: Apple Asked to Set Up Local Manufacturing Hub

iPhone 16 Ban in Indonesia: The iPhone 16 ban in Indonesia is still in effect, and the government has made new demands from Apple to lift the restriction. Reports suggest that Indonesia wants Apple to establish a local manufacturing facility for iPhone components to comply with its regulations.
Why Is iPhone 16 Banned in Indonesia?
The ban is tied to Indonesia’s Domestic Component Level (TKDN) certification. This law requires foreign companies to ensure that at least 40% of their products consist of locally made components. Companies can meet this requirement by:
Manufacturing products in Indonesia,
Developing software locally,
Establishing research and development (R&D) centers.
What Is Apple Doing to Resolve the Issue?
Indonesia’s Industry Minister, Agus Gumiwang Kartasasmita, has been meeting with Apple executives to negotiate a solution. As a result:
Apple has agreed to build a manufacturing facility for AirTag trackers on Batam Island.
Despite Apple’s earlier $1 billion investment commitment, it has not been enough to satisfy Indonesia’s local content requirements.
What’s Next for iPhone 16 in Indonesia?
For now, Apple must continue negotiations with the Indonesian government. The iPhone 16 will remain unavailable until the company fully meets the TKDN requirements.
Why This Matters
Indonesia is one of Southeast Asia’s largest markets, and Apple’s inability to sell its latest devices there highlights the growing importance of localization. The situation also underscores how regulatory compliance can significantly impact global tech companies.
iPhone 16 is banned in Indonesia due to local content regulations.
Apple is setting up an AirTag manufacturing facility but hasn’t yet met all requirements.
Further negotiations are needed for Apple to resolve the issue.
This situation shows the importance of balancing global operations with local laws. Stay tuned for updates as Apple and Indonesia work toward a resolution.