Apple iPhone 16 Sales Blocked in Indonesia Over Local Content Rule

The Indonesian government has barred the sale of Apple's iPhone 16 due to failure to meet local component requirements

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Oct 28, 2024
Summary
  • Indonesia requires smartphones sold domestically to contain at least 40% locally manufactured parts.
  • Apple has not met this requirement.
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Apple (AAPL, Financials) has been barred from selling its iPhone 16 in Indonesia after failing to meet the country's requirements on local component use, according to a statement by Indonesia's Ministry of Industry on Friday.

Indonesia requires that at least 40% of the locally produced components in cellphones sold there be from Indonesia. Ministerial spokesman Febri Hendri Antoni Arief said the iPhone 16 fell short of this criteria.

"Imported iPhone 16 hardwares cannot be marketed in the country, because Apple Indonesia has not fulfilled its investment commitment to earn a local content certification," Arief said. Still, the phones may be brought in for personal use if the required taxes are paid.

Indonesia is a major target for tech-related investment as its population is huge and technologically educated. Industry Minister Agus Gumiwang Kartasasmita said he hoped Apple will boost local content via collaborations with domestic companies during Apple CEO Tim Cook's April trip to Indonesia.

Meanwhole, Apple is expected to unveil a number of products and services this week, with an eye on the newest M4 Macs. All driven by the M4 processor, the business will release new iterations of the MacBook Pro, Mac mini, and iMac. Particularly in terms of CPU, GPU, and Apple's Neural Engine—which might now enable up to 38 trillion operations per second—these models are supposed to provide significant performance improvements. Along with the announcements this week, the Mac mini design will also be changed, allegedly to be smaller and with additional USB-C connectors. Apple also plans to release updated variants of 14- and 16-inch MacBook Pro with M4, M4 Pro, and M4 Max CPUs.

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