Indonesia Says Apple's $100 Million Investment Proposal Inadequate

Indonesia rejected Apple's $100 million investment proposal to build an accessory and component plant, stating it was insufficient to lift the current ban on iPhone 16 sales in the country. Indonesia banned sales of Apple's iPhone 16 last month after it failed to meet requirements that smartphones sold domestically should comprise at least 40% locally-made parts. Reuters reports: "We have done an assessment and this (proposal) has not met principles of fairness," Industry Minister Agus Gumiwang Kartasasmita told a press conference, comparing the proposal to Apple's bigger investments in neighboring Vietnam and Thailand. Apple has no manufacturing facilities in Indonesia, but has since 2018 set up application-developer academies, which Jakarta considers a way for the company to meet local content requirement for the sale of older iPhone models. Agus said Apple had an outstanding investment commitment of $10 million it should have carried out before 2023. He also wanted Apple to commit to new investment until 2026.