As of now, from studying our protection of the story, Indonesia has banned gross sales of the iPhone 16 line within the nation. The Indonesian authorities need smartphones offered within the nation to have 40% of the parts used to make every unit sourced domestically. Apple has provided to speculate $100 million in Indonesia to construct a manufacturing facility to supply smartphone parts if the ban is lifted; however, it seems that the federal government has a better determination in mind.
The
newest report states that the Indonesian authorities need $1 billion from Apple to carry out the iPhone 16 gross sales ban. Whereas it’d really feel like a ransom demand, the nation says that with $1 billion, Apple might construct a neighborhood supply chain that will kill a number of birds with one stone. It could enable Apple to satisfy the 40% native content material requirement by utilizing elements made domestically, and this is able to help create jobs and lift employment ranges in Indonesia.
Indonesian cellphone retailer Erafone inside a shopping center. | Picture credit: Grand Indonesia
Apple would not personalize or contract with any manufacturing facility in Indonesia; however, it has begun academies that practice aspiring app builders within the nation. However, returning to the thought of an Indonesian supply chain, it’s no secret that Apple has been trying to transfer manufacturing of its units, together with the iPhone, out of China. With President-elect Donald Trump already speaking about imposing a 10% tariff on imports from China, Apple may really feel the strain to expedite the method of transferring extra iPhone manufacturing to different international locations.
Whereas some iPhone 16 sequence items are produced in India, there was a hypothesis about Apple turning to a rustic in Southeast Asia akin to Vietnam to assemble future iPhone fashions. Indonesia is in the identical area; whereas Apple may really feel optimistic about constructing future iPhones within the nation, the tech giant may not be too eager about making a $1 billion funding in a fashion that feels extra like blackmail. Think about if different governments threatened to ban the iPhone until Apple met a requirement to speculate $1 billion to construct a supply chain of their international locations.
We must always point out that gross sales of the Pixel 9 sequence have additionally been banned in Indonesia for a similar purpose. Indonesian iPhone followers can nonetheless purchase an iPhone 16 sequence mannequin; however, they should buy the gadget from Singapore, tacking an import price onto the worth. Thus, an Indonesian client trying to purchase the bottom iPhone 16 handset priced at S$1,299 ($994) in Singapore should pay a further $155 to convey the gadget to Indonesia.
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Sourcing information and pictures from phonearena.com
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