Apple and Indonesia have reached an agreement to lift the ban on selling the iPhone 16 in the country. The deal, confirmed by sources familiar with the situation, concludes a five-month standoff.

It includes Apple committing to a US$1 billion investment in Indonesia, focusing on local research and development.

Indonesia’s Ministry of Industry is set to sign a memorandum of agreement with Apple this week.

This will enable permits for the iPhone 16’s sale. A press briefing is also scheduled to announce this development.

The ban was enacted in October 2024 when Apple did not meet Indonesia’s domestic manufacturing regulations for smartphones and tablets.

Although President Prabowo Subianto approved Apple’s initial investment offer, the Ministry of Industry stalled the ban’s removal, seeking better terms.

As part of the agreement, Apple will support innovation programs aimed at developing local talent in research and development. This will go beyond its current Apple Academies.

However, sources reported there are no plans for Apple to manufacture iPhones in Indonesia.

There remains a possibility the deal could fall through. Neither Apple nor the Ministry of Industry has provided comments on the agreement.

Recent Apple developments