Indonesia has halted sales of Google’s Pixel and Apple’s iPhone 16, intensifying its enforcement of local manufacturing rules for technology products.
The government announced this move on November 1, citing regulations that require smartphones sold in Indonesia to contain at least 40% locally manufactured components.
The ban on Google’s Pixel phones follows a similar move last week, when Indonesia blocked sales of Apple’s iPhone 16 for not meeting the same local content rule.
These regulations are part of Indonesia’s broader strategy to boost its domestic manufacturing industry and create jobs for its growing population.
An official explained that Indonesian consumers may still purchase Google Pixel phones from overseas, but must pay applicable taxes.
He warned, however, that phones imported illicitly could be deactivated by authorities.
Despite the bans, Google and Apple do not dominate Indonesia’s smartphone market.
The Southeast Asian country’s top smartphone brands are currently OPPO, a Chinese firm, and Samsung, the South Korean tech giant, according to research from IDC.
With Indonesia’s large, tech-savvy population, the nation is seen as a critical market for technology investments in Southeast Asia.
Analysts argue that, while local content rules can encourage job creation and domestic industry growth, overly stringent requirements may discourage foreign investors.
The Indonesian government, however, insists that its rules are essential to build a robust technology manufacturing base.
Similar policies have been implemented in other countries, where companies increase their use of local components by partnering with domestic suppliers.
The impact of these restrictions may force Google and Apple to consider partnerships with local suppliers or increase sourcing from Indonesian manufacturers.
Such collaborations could provide a middle ground, helping companies meet local requirements while keeping their devices available in the Indonesian market.
As of now, Google’s Pixel series is not officially distributed in Indonesia, but the government’s firm stance signals that it expects full compliance from any company planning to expand in the country.
The ban on iPhone 16 and Pixel phones could also impact Indonesia’s reputation as a thriving tech hub in Southeast Asia.