Indonesian Political, Business & Finance News

BKPM Confident Apple Remains Committed to Increasing Investment in Indonesia

| Source: GALERT
JAKARTA — Investment and Downstreaming Minister/Head of the Investment Coordinating Board (BKPM) Rosan Roeslani stated that leading US technology company Apple is committed to increasing its investment value in Indonesia.

Rosan said this commitment was conveyed by Apple based on communications conducted after the company committed to building an AirTag production facility in Batam.

"We see that Apple's investment, based on our communication with them, will actually increase. It will increase," he said in Jakarta on Tuesday (29/4).

Rosan explained that his office has followed up by establishing communication with three Apple vendors to invest in the country. Additionally, he noted that Chinese company Huayou has been one of Apple's component suppliers. Accordingly, his office has also asked the company to intensively focus its production in Indonesia.

"So later, Indonesia can also supply Apple with components, and these will be exempt from tariffs," he said.

Previously, Rosan stated that an Apple vendor factory has begun construction in Batam. The vendor is projected to supply approximately 65 per cent of global AirTag demand. According to him, the investment is worth US$1 billion, equivalent to Rp16 trillion, with the potential to create up to 2,000 jobs. The investment will continue to be encouraged until it reaches US$10 billion. The vendor factory is targeted for completion in early 2026.

Rosan revealed that Apple vendor investment in Indonesia can create employment and help boost Indonesian exports. The investment will also have positive effects, as 65 per cent of the Apple vendor's production is export-oriented.

According to him, a single Apple handphone product involves hundreds of Apple vendors, and dozens of these vendors have already invested in several countries, including Thailand, Malaysia and Vietnam. The entry of Apple vendor investment into Indonesia can serve as a gateway for the country to become part of the global value chain.

Furthermore, the arrival of Apple vendor investment in Indonesia presents an opportunity to attract other US investors, both additional Apple vendors and companies beyond the Apple ecosystem.
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