The Government Offers These Two Options For Apple If It Wants To Invest In RI

Illustration (Photo: Doc. ANTARA)

JAKARTA - The Ministry of Industry (Kemenperin) provides two options to Apple regarding investment plans.

This investment is also a condition for Apple to be able to market iPhone 16 products in Indonesia.

First, follow the scheme 1 from the calculation of the Domestic Component Level (TKDN), namely building production facilities (factories) in Indonesia and negotiating it through the Ministry of Investment and Downstreaming.

Second, 'follow the 3rd scheme, namely the innovation scheme, with a note having to submit proposals every 3 years (3 years cycle) and negotiations through the Minister of Industry (Menperin) Agus Gumiwang Kartasasmita.

Agus also asked Apple to settle its 'debt' investment commitment of 10 million US dollars or around Rp. 16 trillion.

Until now, Apple has not completed this commitment even though it has submitted a commitment proposal.

"Although they have submitted a commitment proposal, the Ministry of Industry is waiting for its implementation," Agus said in his official statement, Friday, January 3.

He encouraged Apple to use the first scheme, namely investment in production facilities or factories. However, Agus emphasized that the commitment to build factories cannot be equated with the global supply chain that Apple has so far.

On the other hand, if Apple still chooses to use the second scheme in the form of innovation investment, it has prepared a technical calculation regarding the value that Apple needs to prepare so that distribution permits can be issued.

"In negotiations, Apple will definitely prioritize its interests, while the government will prioritize national interests through manufacturing development in Indonesia," said Agus.

According to Agus, if nothing changes, Apple officials from the United States (US) will come directly to meet the Government of the Republic of Indonesia.

The scheduled meeting will take place on January 7-8, 2025.

"We have invited Apple to come to Indonesia to negotiate with the Ministry of Industry and we will only negotiate with the Apple headquarters of the US. Thank God, Apple will send a high-level official directly from America to negotiate with the Ministry of Industry January 7-8," he said.

Furthermore, Agus said, the Ministry of Industry puts forward four principles of justice in managing Apple's investment in the country.

First, pay attention to Apple's investment in other countries. Second, pay attention to investments in other mobile phone manufacturers, handheld computers and tablets (HKT) in Indonesia.

Third, pay attention to added value and income for Indonesia. Then the last one is to pay attention to the use of labor in the Apple supply chain industry ecosystem in Indonesia.

"The Indonesian government has also coordinated with other HKT producers regarding the plan to increase the TKDN value from 35 percent to 40 percent and this is on going process. The benefits of increasing the TKDN value are very pronounced for manufacturing, as can be seen from the reduced importation of HKT products entering Indonesia," he concluded.