Apple Advances in Indonesia Market with Local Content Certificates

Apple has secured local content certificates for 20 products, including the iPhone 16, in Indonesia but still requires additional permits to proceed with sales. This follows a $300 million investment announcement and comes after a previous sales ban due to non-compliance with local component requirements. Negotiations with the Indonesian government have been complex, and Apple has fallen out of the top smartphone brands in the region.

Apple has received local content certificates for 20 of its products in Indonesia, inclusive of the iPhone 16. However, the company still requires additional permits from other ministries before these products can be sold in the country, as reported by an industry ministry spokesperson. These developments follow Apple’s announcement last month regarding an investment exceeding $300 million in Indonesia, aimed at establishing component manufacturing and a research and development center.

Due to Apple’s previous inability to comply with local component requirements, sales of the iPhone 16 were banned last year. The Ministry confirmed that Apple met the necessary criteria for 11 phone models and nine tablets. Nonetheless, permits from the communications and digital ministry, alongside the trade ministry, are still essential for Apple to commence sales of its products in Indonesia.

The negotiations between Apple and Indonesia’s industry ministry have been described as “tricky.” Meanwhile, Apple has dropped out of the top five smartphone brands in Indonesia as noted by research firm Canalyst in the third quarter of the previous year. Additionally, various sources note that the first step towards reentering the market has been taken with the issuance of TKDN certificates for the iPhone 16 series, which possesses a domestic content value of 40 percent.

In conclusion, Apple has made a significant advancement by obtaining local content certificates for its products in Indonesia, paving the way for potential sales of the iPhone 16. However, the company must still navigate additional permit requirements from relevant ministries. Following substantial investment and a challenging negotiation process, Apple aims to revive its market presence in Indonesia amidst increasing competition.

Original Source: en.tempo.co

About Liam O'Sullivan

Liam O'Sullivan is an experienced journalist with a strong background in political reporting. Born and raised in Dublin, Ireland, he moved to the United States to pursue a career in journalism after completing his Master’s degree at Columbia University. Liam has covered numerous significant events, such as elections and legislative transformations, for various prestigious publications. His commitment to integrity and fact-based reporting has earned him respect among peers and readers alike.

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