Apple's $1 Billion Investment for AirTag Production in Indonesia Approved by President Prabowo to Lift iPhone 16 Ban

Dec 19, 2024, 11:28 AM

Apple Inc. is on the verge of resolving a ban on iPhone 16 sales in Indonesia following a $1 billion investment proposal that has been approved by President Prabowo Subianto. The investment includes plans to establish manufacturing facilities in the country, notably an AirTag production plant on Batam island, which is expected to initially employ 1,000 workers and eventually account for 20% of global AirTag production. The Batam facility benefits from the island's free-trade zone status, which provides tax exemptions and import duty benefits. The deal also involves setting up another facility in Bandung for producing accessories and expanding Apple's developer academies in Indonesia. The Indonesian government had previously blocked iPhone 16 sales due to Apple's failure to meet the country's 40% domestic content requirement for smartphones.