Global site navigation

Indonesia rejects Apple's $100 million investment offer
Business and Economy

Indonesia rejects Apple's $100 million investment offer

by  AFP 2 min read
Apple's new iPhone 16 is not available in Indonesian stores, despite the tech giant's offer of $100 million in investments
Apple's new iPhone 16 is not available in Indonesian stores, despite the tech giant's offer of $100 million in investments. Photo: Frederic J. BROWN / AFP
Source: AFP

PAY ATTENTION: NOW You can COMMENT on our articles on the YEN website! Learn how to get started.

Indonesia has rejected an Apple $100 million investment proposal aimed at lifting a ban on iPhone 16 sales, saying it lacks the "fairness" required by the government.

Indonesia last month prohibited the marketing and sale of the iPhone 16 model over Apple's failure to meet local investment regulations requiring that 40 percent of phones be made from local parts as the country seeks to boost investments from giant tech companies.

Following the ban, Apple offered to increase its investments in Indonesia by $100 million to allow the new phone to be sold domestically.

But Industry Minister Agus Gumiwang Kartasasmita said Apple had not met the government's requirements, especially when compared with the tech giant's investments in other countries.

"Currently, Apple still has not invested in production facilities or factories in Indonesia," he said in a statement released late Monday.

He said the ministry urged Apple to immediately set up a production facility or factory in Indonesia "based on the fairness principles" so the company does not have to file an investment scheme proposal every three years.

Read also

Thousands demand lower rents at Barcelona demo

Despite the sales ban, the Indonesian government still allows iPhone 16 to be carried into Indonesia if they are not being traded commercially.

The government estimates about 9,000 units of the new model have entered the country that way.

Indonesia also banned the sale of Google Pixel phones for failing to meet the 40 percent parts requirement.

About 22,000 Google Pixel phones entered the country this year despite the ban.

Source: AFP

Authors:
AFP avatar

AFP AFP text, photo, graphic, audio or video material shall not be published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP news material may not be stored in whole or in part in a computer or otherwise except for personal and non-commercial use. AFP will not be held liable for any delays, inaccuracies, errors or omissions in any AFP news material or in transmission or delivery of all or any part thereof or for any damages whatsoever. As a newswire service, AFP does not obtain releases from subjects, individuals, groups or entities contained in its photographs, videos, graphics or quoted in its texts. Further, no clearance is obtained from the owners of any trademarks or copyrighted materials whose marks and materials are included in AFP material. Therefore you will be solely responsible for obtaining any and all necessary releases from whatever individuals and/or entities necessary for any uses of AFP material.

Hot: