Indonesia has banned the sale and operation of Apple’s iPhone 16, making it illegal in the country. The declaration was made on behalf of the Indonesian government by Industry Minister Agus Gumiwang Kartasasmita, who urged consumers to refrain from purchasing iPhone 16 from abroad. He warns them that any iPhone 16 used within the confines of Indonesia is illegal under local laws, most specifically the required International Mobile Equipment Identity (IMEI) certification. This certification is crucial for any smartphone to operate legally in the country; without it, the device cannot be recognised by local telecommunication networks.
Apple’s shortcomings regarding investments made to the Indonesian government account mainly for that ban. Apple pledged to invest 1.71 trillion rupiah (roughly 919 crore) in local operations but has only invested 1.48 trillion rupiah (close to 795 crore). This shortfall accounts for 230 billion rupiah (approximately 123.6 crore) that the tech giant still has to cover. Until these investments are honoured, Minister Kartasasmita explained, the iPhone 16 would not obtain operating authorisation.
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Furthermore, the TKDN (Domestic Component Level) certification of the iPhone 16 establishes a minimum local content requirement of 40%, meaning that a substantial share of the phone’s components must be sourced from local suppliers. That is a stipulation for selling electronic goods in Indonesia; it justifies Apple’s intent to set up two research and development centres it refers to as Apple Academies. This would further back local talent and technology.
Despite a series of negotiations between Apple and the Indonesian government, including a talk held during Apple CEO Tim Cook’s visit to Jakarta earlier this year, the iPhone 16 and other new products, like the iPhone 16 Pro array and Apple Watch Series 10, remain undistributed on Indonesian shores. “Currently under review is the application for TKDN certification for the iPhone 16,” a spokesperson for the Ministry of Industry confirmed, but it will be approved only if Apple satisfies its investment commitments.
The iPhone 16 ban indicates that local investment and following regulation compliance are very much expected for international companies intending to do business in Indonesia. Till they sort out their outstanding commitments, Indonesians should be flexible about any further delays before the iPhone 16 is legalised.
