Indonesian Government and Apple Finalize Investment Agreement, iPhone 16 Series to Be Sold Soon

The Indonesian government and Apple Inc. have reached a new agreement regarding investment and the sale of iPhone 16 series in Indonesia. This agreement includes the issuance of the Domestic Component Level (TKDN) certificate and Apple’s commitment to new investments.

Minister of Industry Agus Gumiwang Kartasasmita revealed that negotiations with Apple took nearly five months. Previously, the Ministry of Industry had withheld TKDN certification for Apple, preventing the company from obtaining distribution permits in Indonesia.

"After a long process, today we signed an MoU between the Ministry of Industry and Apple. The negotiations continued until the last minute—just 15 minutes before signing, we were still making adjustments with Apple’s headquarters in Cupertino," Agus stated in a press conference in Jakarta on Wednesday (Feb 26, 2025).

Apple’s Investment Commitments and TKDN Sanctions

One key agreement is that Apple will maintain its innovation investment scheme (Scheme 3) to fulfill TKDN requirements. Additionally, Apple has settled its investment obligations for 2020-2023, amounting to $10 million, which was paid on December 16, 2024.

As part of the settlement for TKDN sanctions, Apple has introduced ICT Luxshare, a company from its Global Value Chain (GVC), to invest in Indonesia.

ICT Luxshare is investing $150 million to establish an Apple AirTag production facility in Batam, which is expected to supply 65% of the global AirTag demand. Furthermore, Apple has committed to sourcing batteries for AirTags entirely from domestic industries.

Apple is also setting up a new production line at Long Harmony in Bandung, which will manufacture mesh fabric, a critical component for producing AirPods Max.

Apple to Invest $160 Million (Rp 2.6 Trillion) in Indonesia

Apple has agreed to invest $160 million (Rp 2.6 trillion) for the 2026-2028 period. This investment will support the expansion of Apple Developer Academy, the establishment of Apple Software Indonesia and Technology Institute, and the Apple Professional Developer Academy.

Agus emphasized that this investment figure is the minimum commitment, with potential further impacts calculated for Indonesia’s long-term benefit.

Apple to Build R&D Center in Indonesia

As part of the agreement, Apple will establish a research and development (R&D) center in Indonesia, making it the second country outside the U.S. to host an Apple R&D facility and the first in Asia.

This project will involve major Indonesian universities, including Institut Teknologi Bandung (ITB), Universitas Indonesia (UI), Universitas Gadjah Mada (UGM), and Institut Teknologi Sepuluh Nopember (ITS).

The Ministry of Industry and Apple have also agreed on an Apple manufacturing roadmap in Indonesia until 2029. To ensure compliance, Apple has appointed a third party to oversee the agreement's implementation.

TKDN Certification Issued, iPhone 16 Series to Enter Indonesian Market

With the agreement finalized, the Ministry of Industry will proceed with issuing the TKDN certificate for Apple products, including the iPhone 16 series.

"With negotiations completed, TKDN certification for Apple products can now begin," Agus stated.

Once TKDN is approved, the Ministry of Communication and Digital (Kemenkomdigi) will grant the official sales permit for iPhone 16 series in Indonesia.

When asked if TKDN would be issued by March 2025, Agus hinted at the possibility. "Within Ramadan," he said.

Temukan berita dan artikel lainnya di Google News