Apple Eyes Indonesia for iPhone Production Amid Sales Ban

Apple is reportedly in talks with suppliers to establish iPhone assembly operations in Indonesia, marking a potential shift in its manufacturing strategy. This move comes in response to Indonesia's ban on iPhone 16 sales, imposed in October 2024 due to Apple's failure to meet local content requirements. The Indonesian government mandates that 40% of smartphone components be sourced locally. Apple's previous offers, including a $1 billion investment and plans for AirTag production, were deemed insufficient. If realized, this would be Apple's first iPhone production venture in Indonesia, potentially boosting the country's tech sector and helping Apple comply with stringent regulations to regain market access.
Source: Nikkei Asia