Apple to Negotiate Investment in Indonesia to Sell iPhones

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APPLE,INVESTMENT,INDONESIA

Indonesia's Industry Ministry is set to meet with Apple representatives to discuss Apple's investment commitment in the country. This negotiation is crucial for Apple to be allowed to sell iPhones in Indonesia, as the country requires at least 40% local content in smartphones sold domestically.

Reserving a Galaxy S25 gives you a $50 Samsung Credit, extra savings of up to $1,250, and a chance to win $5,000! Now, Indonesia's industry ministry is supposed to talk to Apple representatives – with the topic of discussion being Apple's investment in Indonesia, of course. That's the prerequisite for the Cupertino giant to be allowed to sell iPhones in the country.

Apple's top brass will come to the Industry Ministry to negotiate the outstanding investment commitment and Apple's proposal for failing to meet the requirement that at least 40% of components in smartphones sold domestically must be locally produced. Apple, which does not currently have manufacturing facilities in Indonesia, has operated application developer academies in the country since 2018. However, to comply with Indonesia's local content mandate, the company is required to commit to new investments every three years. Apple’s previous commitment, valued at $10 million, concluded in 2023, necessitating a new agreement for the 2024-2026 period. Indonesian officials state that the regulations are designed to ensure a level playing field for investors within the country. While consumers can purchase restricted Pixel and iPhone models abroad (yup, these are also barred from being sold in Indonesia) and bring them into Indonesia after paying the necessary taxes, the government is considering measures to deactivate phones imported through unofficial channels. Tourists visiting Indonesia, however, can freely bring their devices without any restrictions, so travelers planning an exotic getaway need not worry about compliance issues

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