Apple is Unfair, Here’s the Proof Indonesia is Just Being Exploited

Apple has submitted a proposal for an investment worth US$100 million (Rp 1.58 trillion) over two years in Indonesia. This move is the latest since the government firmly banned the sale of the iPhone 16 in the country. The plan for the investment is for the construction of a development center and a developer academy. Another plan is the mesh (cushion) production of AirPods Max components in 2025 as part of the global value chain of Apple products.
The proposal is still under consideration by the government through the Ministry of Industry. (Kemenperin). Because the government wants to ensure that what is done is fair for Indonesia and other Telecommunications Device companies such as Mobile Phones, Computers, Tablets (HKT).

“We are discussing whether the US$100 million investment value in Apple’s proposal is fair,” said Kemenperin Spokesperson Febri Hendri at the Kemenperin Office, Thursday (21/11/2024).

One of them is comparing Apple’s other investments, such as in Vietnam and India. Both countries are known to also receive investments from the Cupertino giant in the United States. (AS).

Apple’s investment in Vietnam and India

In Vietnam, Apple announced an investment worth US$15.84 billion or Rp 252 trillion. The creation of jobs also reached 200,000 jobs in the country.

Meanwhile, in India, Apple plans to increase its device production. Its value will reach more than US$30 billion (Rp 477.2 trillion) in the next two years.
The country has contributed 12-14% to Apple’s supply chain, valued at US$15-16 billion. If its production expansion reaches 26%, then 200 new jobs will be created in India’s electronics sector.

The decision is to reduce dependence on Chinese manufacturing, also due to Donald Trump’s victory, which might increase tensions with China.

Apple is reported to have produced the iPhone 16 Pro and iPhone 16 Pro Max in India through the Foxconn factory in Tamil Nadu. Both phones will also be shipped to other markets such as the United States (US) and Europe.

This is different from before when Apple only produced cheap iPhones with a 60 Hz screen and a single set of cameras in India. Their shipments were also only for the Indian market.

The Largest iPhone Sales in Indonesia

Apple’s sales in Indonesia became the largest in Southeast Asia. Last year, 2.61 million iPhones were sold in the country.

For comparison, Apple sales in Vietnam were only 1.43 million units.

“If the revenue from Apple’s sales in Indonesia is estimated at IDR 30 trillion. This figure is still far from the planned investment value to support the development of the national economy and the construction of a digital technology ecosystem in Indonesia,” said the Spokesperson for the Ministry of Industry.

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