Apple iPhone 16 Now Allowed Entry into Indonesia, But Sales Banned: Certification Invalidated Due to Unmet Investment Target

Apple iPhone 16 Now Allowed Entry into Indonesia, But Sales Banned: Certification Invalidated Due to Unmet Investment TargetThe Indonesian Ministry of Industry announced on October 27 that travelers entering Indonesia can bring in iPhone 16 devices, but sales within the country are prohibited. This decision stems from Apple's failure to meet its local investment target, leading to the invalidation of its sales certification in Indonesia

Apple iPhone 16 Now Allowed Entry into Indonesia, But Sales Banned: Certification Invalidated Due to Unmet Investment Target

The Indonesian Ministry of Industry announced on October 27 that travelers entering Indonesia can bring in iPhone 16 devices, but sales within the country are prohibited. This decision stems from Apple's failure to meet its local investment target, leading to the invalidation of its sales certification in Indonesia.

The iPhone 16 series, launched by Apple in September, cannot be sold in the Indonesian market due to the company's failure to meet the country's TKDN (Domestic Component Content) localization certification requirements. This certification mandates that at least 40% of the components used in goods and services be domestically sourced. Apple previously obtained this certification, but it has now expired, requiring the company to obtain an extension to resume sales in Indonesia.

To fulfill Indonesia's localization requirements, foreign companies can opt for various pathways, including local manufacturing programs, application development programs, or innovation development programs. Apple chose to meet the requirement through the innovation development program, rather than establishing local manufacturing in Indonesia.

Despite investing approximately 1.48 trillion Indonesian Rupiah (equivalent to $94.53 million) in Indonesia, Apple still falls short of its committed investment target of 1.71 trillion Indonesian Rupiah ($109.6 million), leaving a gap of around 240 billion Indonesian Rupiah.

In a statement released on November 11, Apple expressed its strong commitment to the Indonesian market and expressed its anticipation to bring its latest products to Indonesian consumers soon.

Fifri, a spokesperson for the Indonesian Ministry of Industry, explicitly stated: "Any act of selling the iPhone 16 in Indonesia is unlawful as Apple has not yet obtained the relevant certification to sell the product in Indonesia."

This incident underscores the importance for companies like Apple to actively satisfy local government requirements, invest appropriately, and engage in localized operations to ensure smooth product sales in overseas markets.