Apple has proposed investing $10 million in a new local manufacturing plant in Indonesia to lift the country’s iPhone 16 sales ban enacted recently, reports the South China Morning Post.
According to the report, Apple would invest in a new plant in Bandung, southeast of Jakarta, to build some of the company’s components and accessories locally. The proposal was recently submitted to Indonesia’s Ministry of Industry and is a direct reaction to the country’s recent iPhone 16 sales ban.
Last week, it was revealed that Indonesia enacted an iPhone 16 sales ban because Apple’s lineup does not meet the country’s requirement for 40% locally made components in the product. The Cupertino company has also failed to meet an initial investment pledge in the country and has instead opted to build four developer academies. The report adds that the Ministry is currently “deliberating” the proposal, with a decision coming shortly
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It seems that the developer academies won’t be enough to reverse the iPhone 16 sales ban, forcing Apple to increase its investment pledges. Indonesia is a massive potential market for the company, with a population of 280 million and a mobile phone market of nearly 354 million.
The potential facility would be Apple’s first in Indonesia and could be its only way out of the current iPhone 16 sales ban. The new plant would also help Apple move more of its manufacturing away from China in a renewed push of its diversification efforts.
