Is Apple planning $1 billion investment in Indonesia?
The offer is being seen as the tech giant’s latest bid to lift a ban on the sale of iPhone 16 devices in Southeast Asia’s largest economy.
Apple has reportedly agreed to invest USD 1 billion in a manufacturing plant in Indonesia that makes components for smartphones and other products.
The offer is being seen as the tech giant’s latest bid to lift a ban on the sale of iPhone 16 devices in Southeast Asia’s largest economy.
Apple and Indonesia are still working out details of the planned investment, the country’s investment minister Rosan Roeslani said.
The announcement comes after the government banned iPhone 16 sales for failing to meet local content rules. Indonesia requires domestically sold smartphones to have at least 40% locally-made parts. Apple had not adhered to those conditions, according to Indonesian authorities.
Industry Minister Agus Gumiwang Kartasasmita said last month that his top priority was to get Apple to open a local plant, similar to plants by companies like Samsung and Xiaomi.
“Whoever benefits from the sales must invest here, create jobs here. What’s important is how the global value chain moves here, because once it does, suppliers follow,” Indonesia's investment minister Rosan Roeslani said, adding the investment commitment is part of a first phase.
Apple had previously expressed a willingness to invest $100 million in building an accessory and component plant in Indonesia to reverse the ban, but it was rejected by the government, which said it failed to meet the standards of fairness.
Though Apple does not have manufacturing plants in Indonesia, it has established application developer academies there.
Apple has not commented on the USD 1 billion investment.
