Jakarta (ANTARA) - Investment and Downstreaming Minister Rosan Roeslani has indicated that Apple will invest more in Indonesia, following the technology major's commitment to build an AirTag production facility in Batam, Riau Islands Province.

"Based on our (last) communication with them, we see that Apple's investment (in Indonesia) will increase," he said here on Tuesday.

Following the commitment, the Indonesian government has been communicating with three Apple vendors to invest in the country.

According to Roeslani, Chinese company Huayou is known to be one of the component suppliers for Apple products. Therefore, he has asked the company to intensively focus its production in Indonesia.

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"So, later, Indonesia can also supply Apple with components, and it will be exempt from tariffs," he added.

Construction work has started on Apple's vendor factory in Batam, which will supply 65 percent of AirTag needs worldwide.

With an investment of US$1 billion, the factory is expected to create up to two thousand jobs.

The investment will continue to be pushed until it reaches US$10 billion, he said.

He informed that the vendor factory is targeted to be completed by early 2026.

Roeslani said that Apple's AirTag vendor factory can create jobs and help increase Indonesian exports, considering that 65 percent of the products will be shipped out of the country.

He explained that in the production of a single iPhone unit, hundreds of Apple vendors are involved.

Currently, dozens of Apple vendors have invested in a number of countries such as Thailand, Malaysia, and Vietnam.

The entry of Apple vendor investment into Indonesia can be a gateway for the country to become a part of the global value chain.

In addition, Apple's investment in Indonesia can also be an opportunity to attract other US investors, Roeslani added.

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Translator: Ahmad Muzdaffar Fauzan, Yashinta Difa
Editor: Rahmad Nasution
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