iPhone 16 Series Sales in Indonesia Blocked Over Unmet Investment Requirements

Apple faces a road bump in Indonesia, after enjoying healthy initial sales of its flagship iPhone 16 series in other Asian markets such as China.

By Claire Jiao, Bloomberg | Updated: 28 October 2024 14:36 IST

iPhone 16 Series Sales in Indonesia Blocked Over Unmet Investment Requirements

iPhone 16 was launched by Apple in September

Highlights

iPhone 16 series sales have been blocked in Indonesia
Apple can continue to sell its older iPhone models in Indonesia
About 9,000 iPhone 16 units have entered Indonesia so far

Indonesia blocked Apple Inc. from selling its latest iPhones in Southeast Asia's largest economy, saying the company has yet to meet local investment requirements. The iPhone 16, launched in September, cannot be marketed domestically as local unit PT Apple Indonesia hasn't fulfilled the country's 40% domestic content requirements for smartphones and tablets, the Ministry of Industry said in a statement on Oct. 25. Apple's older products can still be sold in Indonesia.

That's a road bump for Apple, which has enjoyed healthy initial sales of its flagship product in other Asian markets such as China. While Apple ranks outside the top six smartphone brands in Indonesia, it's a potential growth market with a young, increasingly tech-savvy population. The $1 trillion economy has over 350 million active mobile phones — much more than the nation's 270 million population, according to government data.

The industry ministry said earlier in October that Apple has only invested 1.5 trillion rupiah ($95 million) in Indonesia, below its commitment of 1.7 trillion rupiah. Apple built four developer academies in the country in lieu of establishing a local manufacturing facility, though Chief Executive Officer Tim Cook said in April that the company was looking into the feasibility of doing so.

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Apple representatives didn't immediately respond to an emailed request for comment outside regular US business hours.

Rival phone makers like Samsung Electronics Co. and Xiaomi Corp. 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.

Indonesia has a long track record of using trade restrictions to push foreign companies to produce more of their goods domestically, though to mixed success.

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The government tightened import rules on a wide swathe of products this year, leading to a shortage of items such as laptops and car tires, and causing a pile-up in its ports. However, its long-running ban on the export of mineral ores like nickel have led to the rapid development of its battery sector.

About 9,000 iPhone 16 units have so far entered Indonesia, hand-carried by passengers and crew or delivered by post, the industry ministry said. These are only allowed for personal use and cannot be traded, it said. Even this route may not be easy for interested iPhone 16 buyers though. Indonesia has since 2020 required all phones purchased overseas to be registered with the government and those are subject to a hefty tax.

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

iPhone 16

KEY SPECS
NEWS

Display 6.10-inch

Processor Apple A18

Front Camera 12-megapixel

Rear Camera 48-megapixel + 12-megapixel

RAM 8GB

Storage 128GB, 256GB, 512GB

OS iOS 18

Resolution 1179x2556 pixels

More Apple mobiles Apple mobiles price in India

iPhone 16 Plus

REVIEW
KEY SPECS
NEWS

Design
Display
Software
Performance
Battery Life
Camera
Value for Money

Good
Stunning display
Solid build quality and lovely colour options
Battery life is bonkers on this one
Excellent for gaming and performance (in general)
Improved cameras

Bad
Still offers a 60Hz refresh rate and misses out on AOD (always-on display)
No fast charging
Comes with USB 2
No Apple Intelligence features out of the box

Read detailed Apple iPhone 16 Plus review

Display 6.70-inch

Processor Apple A18

Front Camera 12-megapixel

Rear Camera 48-megapixel + 12-megapixel

RAM 8GB

Storage 128GB, 256GB, 512GB

OS iOS 18

Resolution 1290x2796 pixels

More Apple mobiles Apple mobiles price in India

iPhone 16 Pro

KEY SPECS
NEWS

Display 6.30-inch

Processor Apple A18 Pro

Front Camera 12-megapixel

Rear Camera 48-megapixel + 12-megapixel + 48-megapixel

RAM 8GB

Storage 128GB, 256GB, 512GB, 1TB

OS iOS 18

Resolution 1206x2622 pixels

More Apple mobiles Apple mobiles price in India

iPhone 16 Pro Max

REVIEW
KEY SPECS
NEWS

Design
Display
Software
Performance
Battery Life
Camera
Value for Money

Good
Massive screen size
Brilliant display
Performance beast
Camera Control is a boon
Fantastic battery life

Bad
Big phone for one-hand use
Expensive
No Apple Intelligence at launch
Slow-wired charging support

Read detailed Apple iPhone 16 Pro Max review

Display 6.90-inch

Processor Apple A18 Pro

Front Camera 12-megapixel

Rear Camera 48-megapixel + 12-megapixel + 48-megapixel

RAM 8GB

Storage 256GB, 512GB, 1TB

OS iOS 18

Resolution 1320x2868 pixels

More Apple mobiles Apple mobiles price in India

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