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Indonesia blocks Apple from selling iPhone 16

By Aiko TanakaIndonesia
1 min read
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Indonesia has blocked Apple from selling the iPhone 16 in the country but still allows travelers to bring it in for personal use.

The iPhone 16, released in September, is not permitted for domestic sale because PT Apple Indonesia has yet to meet the country’s requirement of 40% local content for smartphones and tablets, the Ministry of Industry said in a statement on Oct. 25 as reported by Bloomberg.

Each traveler can bring up to two iPhone 16s into Indonesia, according to the Jakarta Globe.

Between August and October, around 9,000 iPhone 16 units were brought into Indonesia as personal belongings with taxes paid, data from the ministry shows.

Industry Minister Agus Gumiwang Kartasasmita mentioned on Oct, 22 that Apple has yet to fulfill its commitment to investing 1.7 trillion rupiah (US$108 million) in Indonesia to secure a license for local sales. So far, Apple has invested 1.5 trillion rupiah.

Apple’s older products can still be sold in Indonesia.

Samsung Electronics and Xiaomi have set up factories in Indonesia to comply with the domestic content regulations introduced in 2017. Other ways to boost local content include sourcing materials or hiring workers in the country, according to Bloomberg.

Apple on Oct 11 said that it was “deeply committed to Indonesia and excited to bring all of our latest products, including the iPhone 16 line-up, to our customers as soon as possible.”

Questions & Answers

Q.

Why has Indonesia blocked the domestic sale of the iPhone 16?

A.

The Ministry of Industry stated that PT Apple Indonesia has not met the country's requirement for 40% local content in smartphones and tablets. This regulation is a prerequisite for domestic sales licenses.

Q.

What specifically does Apple need to do to meet Indonesia's local content requirement?

A.

The article mentions that Apple has not yet fulfilled its commitment to invest 1.7 trillion rupiah in Indonesia. Other ways to boost local content include sourcing materials or hiring workers within the country.

Q.

Can people still bring iPhone 16s into Indonesia, even if they can't be sold domestically?

A.

Yes, travellers are allowed to bring up to two iPhone 16 units into Indonesia for personal use. Around 9,000 units were imported this way between August and October, with taxes paid.

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