Indonesia has banned the sale and marketing of Apple’s iPhone 16 due to the tech giant’s failure to meet local investment regulations.
“The iPhone 16 devices imported by registered importers cannot yet be marketed domestically,” ministry spokesperson Febri Hendri Antoni Arif said on Friday. He clarified that although individuals could bring the phones into the country, selling them commercially would be considered illegal. An estimated 9,000 iPhone 16 units have already entered Indonesia.
Apple had committed to investing 1.7 trillion rupiah in Indonesia but reportedly fell short, investing only 1.5 trillion. To meet the requirements, Apple would need to increase its use of Indonesian materials in production. The prohibition is part of Indonesia’s strategy to boost domestic production.
They intend to do this by restricting imports, though this has been met with mixed results. For example, a recent import ban on laptops and raw materials led some companies to scale back operations, yet similar restrictions on mineral ores have strengthened Indonesia’s battery sector.
Indonesia’s tech-savvy population, with over 100 million people under 30, presents a vast market opportunity. In April, Apple CEO Tim Cook visited Indonesia and met with government leaders to discuss investments and the potential expansion of Apple’s developer academies in the region. Still, Apple lacks an official store in the country, leaving fans to rely on resellers.
In Indonesia’s smartphone market, brands like Xiaomi, Oppo, Vivo, and Samsung dominate, while Apple faces increasing pressure to align with local requirements to capture this growing market.