Apple's Batam AirTag Factory Investment to Continue Despite US Tariff War
Apple's domestic investment in Batam, Indonesia, to build an AirTag factory will continue despite the ongoing United States tariff war, according to the Ministry of Investment and Downstream Industries (BKPM).
Speaking through the Ministry's Deputy for Promotion, Nurul Ichwan, Apple has already purchased land in Batam for the construction of an AirTag factory.
"My assumption is that it will likely have an impact regarding US tariffs. But, knowing that this is also an American company, they certainly will not stand idle on this matter. If American companies are competing in markets outside the US, they may not have the ability to influence their own government," said Nurul Ichwan at the Ministry of Investment and Downstream Industries/BKPM office on Wednesday (23 April 2025).
He revealed that Apple's market extends well beyond the US, with numerous countries serving as trade destinations for the company. However, Nurul was unable to confirm when the Apple factory in Indonesia would begin construction. What is certain, he said, is that Apple has already acquired land for the AirTag factory development.
"They will build there — if they have already purchased the land, there is no way they will not invest," he affirmed.
It should be noted that during a previous meeting between Minister of Investment and Downstream Industries/Head of BKPM Rosan Roeslani and Apple representatives, Rosan revealed that Apple had made a full commitment to the first phase of AirTag production worth US$1 million.
"This is just the first stage. I am confident it will grow. I am sure these vendors will increase," said Rosan previously.
He also noted that Apple's vendors in Indonesia remain far fewer compared to Vietnam, and expressed confidence that there would be further development ahead.
"Especially since we currently have just one, compared to Vietnam which already has 34," he said.
Speaking through the Ministry's Deputy for Promotion, Nurul Ichwan, Apple has already purchased land in Batam for the construction of an AirTag factory.
"My assumption is that it will likely have an impact regarding US tariffs. But, knowing that this is also an American company, they certainly will not stand idle on this matter. If American companies are competing in markets outside the US, they may not have the ability to influence their own government," said Nurul Ichwan at the Ministry of Investment and Downstream Industries/BKPM office on Wednesday (23 April 2025).
He revealed that Apple's market extends well beyond the US, with numerous countries serving as trade destinations for the company. However, Nurul was unable to confirm when the Apple factory in Indonesia would begin construction. What is certain, he said, is that Apple has already acquired land for the AirTag factory development.
"They will build there — if they have already purchased the land, there is no way they will not invest," he affirmed.
It should be noted that during a previous meeting between Minister of Investment and Downstream Industries/Head of BKPM Rosan Roeslani and Apple representatives, Rosan revealed that Apple had made a full commitment to the first phase of AirTag production worth US$1 million.
"This is just the first stage. I am confident it will grow. I am sure these vendors will increase," said Rosan previously.
He also noted that Apple's vendors in Indonesia remain far fewer compared to Vietnam, and expressed confidence that there would be further development ahead.
"Especially since we currently have just one, compared to Vietnam which already has 34," he said.