TEMPO.CO, Jakarta - The Ministry of Investment and Downstream\nIndustry\/BKPM is optimistic about Apple\u2019s investment commitment amid\nIndonesia\u2019s 19 per cent reciprocal tariff.<\/p>\n
\u201cApple has also purchased land for investment plans in Batam, and I\nbelieve we will continue,\u201d said Deputy for Investment Climate\nDevelopment at the Ministry of Investment and Downstream Industry\/BKPM,\nRiyatno, at the Smesco building, South Jakarta, on Friday, 18 July\n2025.<\/p>\n
However, Riyatno declined to disclose further plans between the\ngovernment and Apple. He asked that questions regarding investment with\nthe technology company be directed to the Minister of Investment and\nDownstream Industry\/BKPM Head, Rosan Roeslani. \u201cPerhaps the development\nshould be directed to the Minister,\u201d he said.<\/p>\n
Regarding the application of import tariffs, Riyatno stated that the\nministry is committed to seeking and attracting investors, especially\nwith the target of achieving an investment realisation of Rp1.905\ntrillion this year. \u201cCertainly not only from America, but also from\nEurope, various countries in East Asia, China, Japan, Korea, and\nothers.\u201d<\/p>\n
Earlier last year, Minister of Industry Agus Gumiwang Kartasasmita\nstated that a memorandum of understanding had been signed with Apple.\nAdditionally, Agus said a US$160 million investment had been agreed\nupon. According to Agus, although the process had been challenging over\nthe preceding five months, this agreement could add economic value to\nIndonesia.<\/p>\n
\u201cAlhamdulillah, today we signed an MoU between the Ministry of\nIndustry and Apple,\u201d said Agus in a press conference at the Ministry of\nIndustry office on Wednesday, 26 February 2025.<\/p>\n
Instead of building a manufacturing plant in Indonesia, Apple chose a\nthird scheme involving innovation investment. With this decision, Apple\nwill obtain a new domestic component level certificate (TKDN) for the\nperiod from 2025 to 2028. After this cycle ends, said Agus, Apple will\nhave to submit a new investment proposal according to the requirements\nof the third investment scheme.<\/p>\n
Agus also emphasised that the value of Apple\u2019s investment will be in\nhard cash. \u201cIn this new cycle, we have agreed that Apple\u2019s innovation\ninvestment under the third scheme will be worth US$160 million in hard\ncash,\u201d said Agus.<\/p>\n
He mentioned that one form of the Rp2.62 trillion investment is for\nApple to bring in its supplier or global value chain (GVC) to invest in\nIndonesia. Agus said that two companies sent by Apple are ICT Luxshare,\nwhich will produce AirTags in Batam, Riau Islands, and Long Harmony in\nBandung, West Java, which will make components for the Mesh AirPods\nMax.<\/p>\n
Furthermore, Agus also revealed that the government required Apple to\nagree to establish a research and development centre in Indonesia.\nAccording to Agus, Apple is committed to establishing the Apple Software\nInnovation and Technology Institute, Apple Professional Developer\nAcademy, and continuing the Apple Academy programme.<\/p>\n
\u201cTherefore, with the completion of negotiations between the Ministry\nof Industry and Apple as stated in the MoU, the process of issuing a\nTKDN certificate for Apple can begin,\u201d Agus explained regarding the\nfollow-up after reaching the agreement.<\/p>\n
Previously, Apple was unable to distribute iPhone 16 products because\nthey did not meet the TKDN certificate requirements.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/ministry-of-investment-optimistic-about-apples-commitment-amid-reciprocal-tariffs-1771256771", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }