Apple considers Indonesian production to overcome government restrictions
Citing sources familiar with the issue, Nikkei Asia has reported that Apple is exploring the possibility of manufacturing iPhones in Indonesia. The move is said to be in response to the Indonesian government’s recent ban on smartphones with fewer than 40% of components produced domestically.
The ban – imposed in October 2024 – is intended to create local jobs and bolster the country’s technological manufacturing sector. In November 2024, reports first emerged that Apple proposed a $100 million manufacturing facility in Bandung, West, Java, to comply with the new regulations.
If the new facility is announced, it would mark Apple’s first production venture in Indonesia.
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Chinese sales slump
Nikkei Asia also reported that Apple is seeing significant sales decline in China. In an effort to overcome this, Apple has partnered with the Alibaba Group to develop AI features targeting the Chinese market.
