The Indonesian government has prohibited selling and distributing the iPhone 16 in the country. This decision stems from Apple’s failure to meet the requirements of the Local Content Requirement (Tingkat Komponen Dalam Negeri or TKDN), a crucial condition for obtaining sales permits in Indonesia.
The Importance of TKDN in Investment and Development in Indonesia
The Local Content Requirement (Tingkat Komponen Dalam Negeri or TKDN) is the percentage of domestic components in goods, services, or a combination. According to Pertamina’s official website, TKDN aims to promote the use of local components, thereby positively impacting the nation’s economic growth. In this context, the Indonesian government has mandated that electronic products sold in the domestic market must achieve at least 40% TKDN.
Agus Gumiwang Kartasasmita, Indonesia’s Minister of Industry, stated that Apple has not yet obtained the TKDN certificate because it has not met the required standards. "Without a valid TKDN certificate, the sale of the iPhone 16 in Indonesia cannot be approved," Agus explained, as reported by VOA Indonesia.
Steps Apple Needs to Take
To re-enter the Indonesian market, Apple must undertake several significant measures. First, the company needs to increase its investments in Indonesia, both in terms of financial commitment and long-term strategy. This includes building production facilities to support compliance with TKDN standards.
Additionally, Apple is encouraged to incorporate more locally sourced materials in its iPhone manufacturing process. This may involve integrating components such as casings, batteries, or other parts produced by domestic industries.
These efforts will not only help Apple meet the TKDN requirements but also contribute positively to the development of Indonesia’s manufacturing sector, create job opportunities, and facilitate technology transfer within the country.
The Significance of TKDN in the Investment Climate
The Indonesian government considers TKDN a critical instrument to attract foreign investments that support local economic growth. By encouraging multinational companies like Apple to utilize local components, the government aims to strengthen the domestic industrial ecosystem and generate greater value for the economy.
Apple’s success in meeting these requirements could also set a precedent for other technology companies seeking to enter the Indonesian market. It underscores the importance of adhering to local regulations, including TKDN, as a strategic step to gain a foothold in one of Southeast Asia’s largest consumer markets.
The Future of iPhone 16 in Indonesia
The ban on iPhone 16 sales in Indonesia presents both a challenge and an opportunity for Apple. Should the company successfully meet the TKDN requirements, it would regain access to the Indonesian market and demonstrate its commitment to long-term investment in the country.
For the Indonesian government, this policy represents a strategic move to ensure that foreign investments deliver maximum benefits to the local economy.
The next steps lie in Apple’s hands—will the company revise its investment strategy and fulfill the necessary conditions? The availability of the iPhone 16 in Indonesia will depend on Apple’s seriousness in meeting the established TKDN standards.
