Apple has been blocked from selling iPhone 16 models in Indonesia after it failed to meet the country’s domestic investment requirements (via Bloomberg).
According to a statement dated October 25 from the Indonesian Ministry of Industry, the phones cannot be marketed domestically because local unit PT Apple Indonesia failed to fulfill the country’s 40% local content requirements for smartphones.
Apple has invested approximately 1.5 trillion rupiah ($95 million) in Indonesia, but it committed to an investment target of 1.7 trillion rupiah. Apple’s focus has been on building developer academies in the region instead of establishing local manufacturing facilities, according to the report.
The setback comes at a time when Apple has seen strong iPhone sales globally, especially in China. Indonesia in particular is a significant market for Apple – the country’s $1 trillion economy has over 350 million active mobile phones among its 270 million residents.
Approximately 9,000 iPhone 16 units have entered Indonesia through personal imports by passengers, crew members, or postal delivery, but these devices are strictly limited to personal use and cannot be sold commercially, according to ministry officials.
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