"It's Illegal Here": Why Indonesia Banned the iPhone 16

Indonesia has officially banned the iPhone 16, citing Apple’s failure to meet investment and regulatory requirements, including necessary IMEI and TKDN certifications, which are essential for legal operation within the country.

The ban was announced by Indonesian Industry Minister Agus Gumiwang Kartasasmita, who cautioned consumers against purchasing the iPhone 16 abroad, stressing that any iPhone 16 used within Indonesia is illegal under local regulations. Key among these is the IMEI (International Mobile Equipment Identity) certification, a mandatory registration for any smartphone to connect to Indonesian networks. Without it, the device remains unrecognized by local telecoms.

The primary reason for this ban centers around Apple’s investment shortfall. The company had committed to investing 1.71 trillion rupiah (approximately ₹919 crore) in local operations but has only fulfilled 1.48 trillion rupiah (about ₹795 crore) to date, leaving a deficit of 230 billion rupiah (around ₹123.6 crore). Until Apple fulfills its pledged investment, the iPhone 16 will not receive the operating authorization required for distribution in Indonesia, Kartasasmita clarified.

Additionally, the iPhone 16 lacks the required TKDN (Domestic Component Level) certification, which mandates that 40% of its components come from local sources. This regulation promotes local industry and justifies Apple’s commitment to establishing two research and development hubs, known as Apple Academies, to foster local talent and technological growth.

Despite ongoing discussions between Apple and the Indonesian government, including a meeting between Apple CEO Tim Cook and local officials in Jakarta earlier this year, the iPhone 16, along with models like the iPhone 16 Pro and Apple Watch Series 10, remains unavailable in Indonesia. According to a spokesperson from the Ministry of Industry, Apple’s TKDN application for the iPhone 16 is under review, pending compliance with investment requirements.

This ban underscores Indonesia’s firm stance on regulatory adherence and investment expectations for international companies seeking market access. Until Apple resolves its commitments, Indonesians will likely face delays before the iPhone 16 becomes legally available in the country.