Government Optimistic Apple's AirTag Factory Investment in Batam Will Proceed
JAKARTA, investor.id – The government, through the Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM), is optimistic that Apple's AirTag production facility investment in Batam will proceed in Indonesia according to the original plan. However, the government has not explicitly confirmed that Apple's investment plan will continue following the trade agreement between Indonesia and the United States. The government expressed confidence but has yet to provide firm assurance.
BKPM Deputy for Investment Climate Development Riyatno said he was optimistic that Apple would not cancel its investment, particularly as the company has already purchased land in Batam.
"We are optimistic that the planned investment will continue, especially since, as the Minister has mentioned on several occasions, Apple has already purchased land for its investment plan in Batam. In my view, it will proceed," Riyatno told reporters at the Ministry of SMEs office in Jakarta on Friday (18/7/2025).
Apple, the US-based technology giant, plans to build an AirTag factory in Batam with an investment value of US$1 billion, equivalent to approximately Rp16 trillion.
Riyatno affirmed that the investment would continue regardless of the trade agreement between Indonesia and the US. "It will most likely proceed," he said.
The US and Indonesia have reportedly reached a new phase in trade negotiations following talks between US President Donald Trump and Indonesian President Prabowo Subianto. The agreement includes tariff exemptions for US products entering the Indonesian market. In return, the US will reduce tariffs on Indonesian products to 19 per cent, down from the previously imposed rate of 32 per cent.
BKPM Deputy for Investment Climate Development Riyatno said he was optimistic that Apple would not cancel its investment, particularly as the company has already purchased land in Batam.
"We are optimistic that the planned investment will continue, especially since, as the Minister has mentioned on several occasions, Apple has already purchased land for its investment plan in Batam. In my view, it will proceed," Riyatno told reporters at the Ministry of SMEs office in Jakarta on Friday (18/7/2025).
Apple, the US-based technology giant, plans to build an AirTag factory in Batam with an investment value of US$1 billion, equivalent to approximately Rp16 trillion.
Riyatno affirmed that the investment would continue regardless of the trade agreement between Indonesia and the US. "It will most likely proceed," he said.
The US and Indonesia have reportedly reached a new phase in trade negotiations following talks between US President Donald Trump and Indonesian President Prabowo Subianto. The agreement includes tariff exemptions for US products entering the Indonesian market. In return, the US will reduce tariffs on Indonesian products to 19 per cent, down from the previously imposed rate of 32 per cent.