Indonesia Nears Deal with Apple, Lifting iPhone 16 Sales Ban
Jakarta, Indonesia - Indonesia is nearing a deal with Apple Inc. that could resolve an investment dispute and lift a ban on iPhone 16 sales in the country, according to a government minister.
In October, Indonesia's Industry Minister banned the sale of the new iPhone due to Apple's alleged non-compliance with domestic manufacturing requirements for smartphones and tablets. Apple has since been negotiating with the government on an investment package that would address the restrictions.
"I strongly believe it will resolve very soon," Investment Minister Rosan Roeslani said in an interview with Bloomberg Television in Davos on Tuesday. "Hopefully within one or two weeks, this issue can be resolved."
Apple's previous $1 billion offer for a supplier to establish an airtags production plant in Indonesia was rejected by Industry Minister Agus Gumiwang Kartasasmita. He insisted that Apple fulfill local regulations requiring domestic production of iPhones or their components.
"The way they calculate [local content] is different," Roeslani said. "Now that they've found a solution, we hope they accept the discrepancies so the iPhone 16 can be sold in Indonesia."
The resolution of the dispute would mark a significant milestone for Apple in Indonesia, Southeast Asia's largest market.