Indonesia has prohibited the sale of smartphones for not meeting local content requirements, just days after it blocked sales of Apple’s iPhone 16 in the region. Therefore Google Pixel and iPhone 16 Sales halted in Indonesia.
According to the Indonesian Ministry of Industry, Google’s phones cannot be sold until they comply with the mandate that 40% of their components be sourced domestically. Google is required to obtain local content certification before it can resume sales, as clarified by Industry Ministry spokesperson Febri Hendri Antoni Arief. He stated, “The local content rule and related policies are designed to ensure fairness for all investors in Indonesia and to create added value while strengthening the industry here.”
This ban follows the recent halt on iPhone 16 sales due to Apple’s failure to meet a $95 million investment commitment. To comply with Indonesia’s content regulations, major smartphone manufacturers are expected to either manufacture devices locally, develop firmware, or invest in innovation.
The regulation stipulates that tech companies must source 40% of components for handsets and tablets domestically, which can be achieved through local manufacturing, firmware development, or direct investment in innovation projects.
Different companies have approached compliance in various ways. For example, Samsung and Xiaomi have set up manufacturing plants, while Apple has chosen to establish developer academies.
These regulations, enforced through a system known as “local content level,” are part of Indonesia’s broader industrial strategy to utilize its sizable consumer market for economic growth. Companies that fail to meet these requirements will face sales restrictions, highlighting the government’s commitment to enhancing local industry and economic sustainability.
