Indonesia Blocks Apple from Selling iPhone 16 Series Until the Tech Giant Invests Locally

The Paper Break Oct 11, 2024
Indonesia Blocks Apple from Selling iPhone 16 Series Until the Tech Giant Invests Locally

While Apple's latest iPhone 16 Series has been available in Malaysia since 20 September, it has yet to debut in neighboring Indonesia.

In fact, the iPhone 16 Series may never officially launch in Indonesia due to the government's decision to block its entry into the market.

According to the Indonesian news outlet Tempo, Industry Minister Agus Gumiwang Kartasasmita confirmed that Apple is prohibited from selling the iPhone 16 Series in the country until it meets certain conditions.

Agus explained that Apple has not yet fulfilled its investment commitments in Indonesia or renewed its local content requirement certification, known as TKDN. Apple’s current investment realization stands at IDR1.48 trillion (approximately RM405.76 million), falling short of the total commitment of IDR1.71 trillion (~RM467.5 million).

Additionally, Apple's TKDN certification has expired, and for it to be renewed, the company must meet its investment obligations and provide additional investments. Once these requirements are met, Apple will be eligible for a 40% TKDN value, allowing the iPhone 16 Series and other Apple devices to enter the Indonesian market.

Indonesians looking to import the iPhone 16 Series will also face challenges, as the country mandates that imported smartphones be declared, the device’s IMEI registered, and taxes paid based on the smartphone's price. Only after completing these steps can the device be used with Indonesian SIM cards.

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