Indonesia recently banned the sale of Google Pixel smartphones, following a similar move blocking Apple’s iPhone 16, due to the country’s local content requirements. The restrictions mandate that smartphones sold domestically must contain at least 40% locally manufactured components, a measure aimed at fostering investment and industry growth in Indonesia. And it is quite clear that Indonesia is ready to enforce this policy strictly.
Google Pixel and Apple iPhone 16 sales blocked over local content rules
The new restrictions align with Indonesia’s push for fairness among investors and for supporting local manufacturing. The government’s policy requires specific local components quotas, with officials from the Ministry of Industry emphasizing that these rules aim to balance opportunities for all foreign and local investors in Indonesia. Febri Hendri Antoni Arief, a ministry spokesperson, stated, “Google’s products have not adhered to the scheme we set, so they can’t be sold here.” Similarly, Apple’s iPhone 16 failed to meet these requirements and was blocked from sale earlier this month.
Although Google Pixel phones are not officially distributed in Indonesia, an estimated 22,000 units have entered the country this year through personal imports and carry-ons. The government warned it would disable unregistered devices sold illicitly by deactivating their IMEI numbers, which blocks the devices from connecting to local networks. Consumers can still purchase Pixel phones abroad, provided they declare them upon entry and pay the required fees.
Indonesia's local components policy for tech brands
Indonesia’s content rules are part of the TKDN certification scheme, which requires foreign tech companies to source at least 40% of their device components domestically. This policy applies not only to sales but also to investment commitments from international tech companies operating in the country. Apple, for instance, has reportedly requested a meeting with Industry Minister Agus Gumiwang Kartasasmita to discuss compliance measures, though no official meeting date has been set.
Market impact and compliance with local regulations
While the Google Pixel phones are facing bans, the impact may be minimal since they are not officially sold in Indonesia. Other brands, such as OPPO, which holds around 17% of the smartphone market share in Indonesia followed by Samsung, are both not effected. Apple, holding approximately 12% of the market share, ranks fifth among smartphone brands in Indonesia and is currently negotiating its compliance with local content regulations.
Indonesia’s efforts to enforce local content rules reflect the government’s commitment to creating added value and strengthening the domestic tech industry. Although restrictive, these policies seek to attract more foreign investment and encourage tech companies to support Indonesia’s manufacturing sector.
Market
Trade-in
Repair
Refurbishing
