Indonesia iPhone Ban: Apple Proposes $10M Manufacturing Investment

Apple has proposed investing nearly $10 million in Indonesian manufacturing operations in an effort to lift the country's recent ban on iPhone 16 sales, according to sources familiar with the matter (via South China Morning Post).

iPhone 16
The investment would establish a factory in Bandung, near Jakarta, where Apple would partner with its suppliers to produce accessories and components for Apple devices. The proposal has been submitted to Indonesia's Ministry of Industry for review.

The manufacturing investment comes in response to Indonesia blocking iPhone 16 sales last month, after it was determined that Apple's local unit failed to meet the country's requirement for 40% domestic content in smartphones. The ban is part of broader protectionist policies implemented under new President Prabowo Subianto's administration, which has also restricted sales of Google's Pixel phones for similar reasons.

Indonesia represents a significant market for Apple, with the country's population of 280 million operating some 354 million active mobile phones. Apple has established four developer academies in Indonesia to train students and engineers, but the country's officials have pressed for more substantial manufacturing investments.

The proposed $10 million facility would mark Apple's first manufacturing presence in Indonesia, potentially helping the company comply with local content requirements. The Ministry of Industry is currently reviewing the proposal and is expected to make a decision soon.

About 9,000 iPhone 16 units have entered Indonesia through personal imports, but these devices are restricted to personal use and cannot be sold commercially under the current ban.

Popular Stories

iPhone 17 Pro Blue Feature Tighter Crop

iPhone 17 Pro Launching Later This Year With These 13 New Features

Wednesday April 23, 2025 8:31 am PDT by
While the iPhone 17 Pro and iPhone 17 Pro Max are not expected to launch until September, there are already plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models as of April 2025: Aluminum frame: iPhone 17 Pro models are rumored to have an aluminum frame, whereas the iPhone 15 Pro and iPhone 16 Pro models have a titanium frame, and the iPhone ...
iphone 17 dummies sonny dickson

iPhone 17 Air Almost as Thin as Its Buttons, New Images Show

Thursday April 24, 2025 2:14 am PDT by
If you missed the video showing dummy models of Apple's all-new super thin iPhone 17 Air that's expected later this year, Sonny Dickson this morning shared some further images of the device in close alignment with the other dummy models in the iPhone 17 lineup, indicating just how thin it is likely to be in comparison. The iPhone 17 Air is expected to be around 5.5mm thick – with a thicker ...
iPhone 17 Air Pastel Feature

iPhone 17 Air Launching Later This Year With These 16 New Features

Thursday April 24, 2025 8:24 am PDT by
While the so-called "iPhone 17 Air" is not expected to launch until September, there are already plenty of rumors about the ultra-thin device. Overall, the iPhone 17 Air sounds like a mixed bag. While the device is expected to have an impressively thin and light design, rumors indicate it will have some compromises compared to iPhone 17 Pro models, including only a single rear camera, a...
Global Close Your Rings Day Pin

Apple Stores Giving Away a Limited-Edition Pin For Free Today

Thursday April 24, 2025 10:15 am PDT by
Starting today, April 24, Apple Stores around the world are giving away a special pin for free to customers who request one, while supplies last. Photo Credit: Filip Chudzinski The enamel pin's design is inspired by the Global Close Your Rings Day award in the Activity app, which Apple Watch users can receive by closing all three Activity rings today. The limited-edition pin is the physical...
Apple Logo Spotlight Blue

White House Hits Back at Apple's Massive EU Fine

Thursday April 24, 2025 5:57 am PDT by
Apple's $570 million fine from the EU has triggered a sharp rebuke from the White House, which called the fine a form of economic extortion, Reuters reports. The fine was announced on Wednesday by the European Commission, following a formal investigation into Apple's compliance with the bloc's Digital Markets Act (DMA), a landmark piece of legislation aimed at curbing the market dominance of ...
AirPods Pro 3 Mock Feature

AirPods Pro 3 Just Months Away – Here's What We Know

Friday April 18, 2025 5:16 am PDT by
Despite being more than two years old, Apple's AirPods Pro 2 still dominate the premium wireless‑earbud space, thanks to a potent mix of top‑tier audio, class‑leading noise cancellation, and Apple's habit of delivering major new features through software updates. With AirPods Pro 3 widely expected to arrive in 2025, prospective buyers now face a familiar dilemma: snap up the proven...
apple watch ultra yellow

What's Next for the Apple Watch Ultra 3 and Apple Watch SE 3

Friday April 25, 2025 2:44 pm PDT by
This week marks the 10th anniversary of the Apple Watch, which launched on April 24, 2015. Yesterday, we recapped features rumored for the Apple Watch Series 11, but since 2015, the Apple Watch has also branched out into the Apple Watch Ultra and the Apple Watch SE, so we thought we'd take a look at what's next for those product lines, too. 2025 Apple Watch Ultra 3 Apple didn't update the...
ipad air magic keyboard feature

iPadOS 19 Rumored to Show Mac-Like Menu Bar When Connected to Magic Keyboard

Thursday April 24, 2025 12:09 pm PDT by
When an iPad running iPadOS 19 is connected to a Magic Keyboard, a macOS-like menu bar will appear on the screen, according to the leaker Majin Bu. This change would further blur the lines between the iPad and the Mac. Bloomberg's Mark Gurman previously claimed that iPadOS 19 will be "more like macOS," with unspecified improvements to productivity, multitasking, and app window management,...

Top Rated Comments

karnac Avatar
25 weeks ago
How absurd the world stage is becoming, with the EU constantly henpecking Apple over their own software & hardware integration, and now INDONESIA basically saying no one can sell phones to their citizens if they aren't 40% "domestic content", whatever that means. This blatant extortion serves only to prop up the governments of these areas and actually creates worse conditions for their citizens. It's time the NWO model is put in check, the state's function is to build infrastructure and enforce local criminal law, not extort foreign businesses. I'm not sorry that there are now technology corporations with more power than the governments of the world, but as long as those companies empower the people that is how it should be.
Score: 20 Votes (Like | Disagree)
wdfly Avatar
25 weeks ago

How absurd the world stage is becoming, with the EU constantly henpecking Apple over their own software & hardware integration, and now INDONESIA basically saying no one can sell phones to their citizens if they aren't 40% "domestic content", whatever that means. This blatant extortion serves only to prop up the governments of these areas and actually creates worse conditions for their citizens. It's time the NWO model is put in check, the state's function is to build infrastructure and enforce local criminal law, not extort foreign businesses. I'm not sorry that there are now technology corporations with more power than the governments of the world, but as long as those companies empower the people that is how it should be.
I would advise caution in this line of thinking, I think any one group or company having too much power always results in a bad situation eventually.
Score: 15 Votes (Like | Disagree)
Total Respray Avatar
25 weeks ago

How absurd the world stage is becoming, with the EU constantly henpecking Apple over their own software & hardware integration, and now INDONESIA basically saying no one can sell phones to their citizens if they aren't 40% "domestic content", whatever that means. This blatant extortion serves only to prop up the governments of these areas and actually creates worse conditions for their citizens. It's time the NWO model is put in check, the state's function is to build infrastructure and enforce local criminal law, not extort foreign businesses. I'm not sorry that there are now technology corporations with more power than the governments of the world, but as long as those companies empower the people that is how it should be.
The state’s primary function is the security and protection of its citizens.
Score: 10 Votes (Like | Disagree)
cicalinarrot Avatar
25 weeks ago

How absurd the world stage is becoming, with the EU constantly henpecking Apple over their own software & hardware integration, and now INDONESIA basically saying no one can sell phones to their citizens if they aren't 40% "domestic content", whatever that means. This blatant extortion serves only to prop up the governments of these areas and actually creates worse conditions for their citizens. It's time the NWO model is put in check, the state's function is to build infrastructure and enforce local criminal law, not extort foreign businesses. I'm not sorry that there are now technology corporations with more power than the governments of the world, but as long as those companies empower the people that is how it should be.
"Unregulated global capitalism is best for all"
Yeah, I'm gonna need a source for that.
Score: 9 Votes (Like | Disagree)
melliflu Avatar
25 weeks ago
And if this is not enough, Apple will add a $35,000 official repair shop to the proposal.
Score: 9 Votes (Like | Disagree)
cfountain72 Avatar
25 weeks ago

While I understand that many MacRumors users are Apple investors, I find it hard to understand how people can be against a government trying to bring investment and jobs to their country.
I'm an Apple customer (not a direct investor). I see where you are coming from; as an American, I am proud to buy Made in USA products where possible. But imagine for a minute if every country had similar domestic content laws in place. Apple would need to have manufacturing facilities in every country they sell phones in...? That would be completely unfeasible, and consumers in most countries would simply have to resort to black markets to buy iPhones...? Is that what we want?
Score: 8 Votes (Like | Disagree)