Negotiating with one of many largest firms on the earth doesn’t sound simple, however that’s exactly what Indonesia has been doing for the previous few weeks with iPhone maker Apple. The backstory right here is that after the nation required smartphones that are offered domestically to be fabricated from at the very least 40% domestically manufactured components, Indonesia banned iPhone 16 gross sales. In November 2024, authorities even confiscated and destroyed latest iPhone fashions, as proven within the image above.
Now, Reuters studies that Apple plans to spend $1 billion on its first manufacturing plant in Indonesia. The manufacturing unit will produce smartphone parts and different components for Apple merchandise.
While the transfer follows Indonesia’s crackdown on international manufacturing, it matches a development as over the previous few years Apple has diversified its provide chain to cut back reliance on China. For occasion, the iPhone 16 is at present manufactured in Brazil and India, in addition to China. Many AirPods fashions are additionally assembled in Vietnam.
