Apple explores iPhone production plans in Indonesia

Apple is reportedly exploring the possibility of manufacturing iPhones in Indonesia following a sales ban on its iPhone 16 model due to unmet investment commitments. The Indonesian government imposed the ban in October 2024 after Apple fell short of its promised $110 million investment, contributing only $95 million. In response to the ban, Apple has made multiple investment proposals, including a recent $1 billion offer that was initially rejected but later accepted, though the government indicated it was insufficient. If Apple proceeds with local production, it would mark the company's first manufacturing efforts in Indonesia, which could significantly enhance the country's tech industry and job market. This development aligns with Indonesia's local content quota requirements, which mandate that companies source a substantial percentage of components locally. Additionally, Apple suppliers are in talks to establish production capabilities, indicating a serious move towards compliance with Indonesian regulations.