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

Apple Logo Zoomed

Tim Cook Teases Plans for Apple's Upcoming 50th Anniversary

Thursday February 5, 2026 12:54 pm PST by
Apple turns 50 this year, and its CEO Tim Cook has promised to celebrate the milestone. The big day falls on April 1, 2026. "I've been unusually reflective lately about Apple because we have been working on what do we do to mark this moment," Cook told employees today, according to Bloomberg's Mark Gurman. "When you really stop and pause and think about the last 50 years, it makes your heart ...
wwdc sans text feature

Apple Rumored to Announce New Product on February 19

Thursday February 5, 2026 12:22 pm PST by
Apple plans to announce the iPhone 17e on Thursday, February 19, according to Macwelt, the German equivalent of Macworld. The report, citing industry sources, is available in English on Macworld. Apple announced the iPhone 16e on Wednesday, February 19 last year, so the iPhone 17e would be unveiled exactly one year later if this rumor is accurate. It is quite uncommon for Apple to unveil...
Finder Siri Feature

Why Apple's iOS 26.4 Siri Upgrade Will Be Bigger Than Originally Promised

Friday February 6, 2026 3:06 pm PST by
In the iOS 26.4 update that's coming this spring, Apple will introduce a new version of Siri that's going to overhaul how we interact with the personal assistant and what it's able to do. The iOS 26.4 version of Siri won't work like ChatGPT or Claude, but it will rely on large language models (LLMs) and has been updated from the ground up. Upgraded Architecture The next-generation...
iOS 26

iOS 26.3 and iOS 26.4 Will Add These New Features to Your iPhone

Tuesday February 3, 2026 7:47 am PST by
While the iOS 26.3 Release Candidate is now available ahead of a public release, the first iOS 26.4 beta is likely still at least a week away. Following beta testing, iOS 26.4 will likely be released to the general public in March or April. Below, we have recapped known or rumored iOS 26.3 and iOS 26.4 features so far. iOS 26.3 iPhone to Android Transfer Tool iOS 26.3 makes it easier...
iphone 17 pro dark blue 1

iPhone 18 Pro Max Rumored to Deliver Next-Level Battery Life

Friday February 6, 2026 5:14 am PST by
The iPhone 18 Pro Max will feature a bigger battery for continued best-in-class battery life, according to a known Weibo leaker. Citing supply chain information, the Weibo user known as "Digital Chat Station" said that the iPhone 18 Pro Max will have a battery capacity of 5,100 to 5,200 mAh. Combined with the efficiency improvements of the A20 Pro chip, made with TSMC's 2nm process, the...

Top Rated Comments

karnac Avatar
17 months 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
17 months 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
17 months 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
17 months 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
17 months 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
17 months 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)