Indonesia bans use of iPhone 16, labels it ‘Illegal’

The sale and use of Apple’s iPhone 16 have been prohibited in Indonesia. On Tuesday, Indonesia’s Minister of Industry Agus Gumiwang Kartasasmita issued a stern warning to consumers not to buy iPhone 16s from outside the country since they are illegal in Indonesia.

Indonesia declares iPhone 16 as ‘Illegal’

According to Kartasasmita, “If there is an iPhone 16 that can operate in Indonesia, that means that I can say, the device is illegal. Do report it to us,” She further stressed that no International Mobile Equipment Identity (IMEI) certification has been issued for the device.

Reasons for the ban of iPhone 16 in Indonesia

The ban is because Apple didn’t keep its financial promises in Indonesia. A deficit of 230 billion rupiah ($14.75 million) remains after the tech giant has invested 1.48 trillion rupiah ($95 million) out of its pledged 1.71 trillion rupiah.

While speaking from his office, Kartasasmita noted that the Ministry of Industry is unable to give permits for the iPhone 16 at this time due to Apple’s ongoing commitments.

In a statement made earlier this month, the minister confirmed that “Apple’s iPhone 16 cannot be sold in Indonesia yet because the extension of the TKDN certification is still pending, awaiting further investment realization from Apple.”

In order to market their products in Indonesia, enterprises must achieve the TKDN (Domestic Component Level) certification criteria of 40% local content value. Apple has promised to build research and development centers in the country, which are called Apple Academies. The licensing process is directly linked to this promise.

In April, Apple CEO Tim Cook visited Jakarta to explore possible manufacturing prospects with President Joko Widodo. However, this statement comes after his visit. Cook had previously said that the corporation would “look at” the idea of setting up shop in Indonesia.

Status update and investment obligations

Along with other new products by Apple like the Apple Watch Series 10 and the iPhone 16 Pro range, which were unveiled worldwide on September 20, the iPhone 16 is still not available in Indonesia.

While the TKDN certification application for the iPhone 16 is now being reviewed, it is still dependent on Apple meeting its investment obligations, according to Industry Ministry spokesperson Febri Hendri Antoni Arif.