Jakarta (ANTARA) - Industry Minister Agus Gumiwang Kartasasmita has said that the ministry's technical team and Apple are still negotiating the US technology giant's plan to invest in Indonesia.

Therefore, he has not set a deadline for concluding the negotiations.

His party held a meeting with Apple's vice president of global policy, Nick Amman, at the Industry Ministry's office in Jakarta on Tuesday.

"Nick is still negotiating with my technical team. I formed a technical team led by the director general of ILMATE (metal, machinery, transportation equipment, and electronics industry). Now, the technical team is in a meeting with Nick for negotiations," Kartasasmita informed.

He said that during his 30-minute meeting with Apple's top ranks, he conveyed the people's concerns and encouraged Apple to build manufacturing facilities in Indonesia.

"The public supports the government's efforts to encourage Apple to make job creation through the construction of production facilities or a factory," the minister added.

Amman is in Jakarta to hold investment negotiations with the central government.

The negotiations aim to extend the domestic component level (TKDN) certification for Apple products so that the company can officially sell its newest offering, the iPhone 16, in Indonesia.

Kartasasmita encouraged Apple to use the first investment scheme or opt for the construction of production facilities/factories.

As of 2023, Apple was considering the third investment scheme, namely supporting innovation by establishing an Apple Academy.

"Our consideration in encouraging Apple to take the factory construction scheme option is to create more jobs from the investment," Kartasasmita informed on Monday.

In connection with the earlier discourse on Apple's US$1 billion investment, he said that the tech giant's investment is relatively modest compared to the total sales of its products in Indonesia.

"The US$1 billion investment plan, compared to Apple's total sales in Indonesia, which are recorded at around Rp32 trillion (US$1.9 billion), is considered small," he pointed out.

The government snubbed Apple's earlier US$100 million investment proposal as it was not considered proportional to its sales in Indonesia.



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Translator: Ahmad Muzdaffar, Resinta Sulistiyandari
Editor: Azis Kurmala
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