CEO Tim Cook's response was asked by Jokowi to bring Apple factory to RI

Jakarta, CNBC Indonesia – Apple CEO Tim Cook's meeting with President Joko Widodo (Jokowi) at the State Palace on Wednesday (17/4/2024) was an opportunity for the government to continue to encourage investment in 'Apple in Indonesia. Jokowi asked Apple to involve Indonesia in the iPhone and Macbook assembly production line.

This was conveyed by Minister of Communication and Information (Menkominfo) Budi Arie Setiadi. He said one of the main points of the hour-long meeting was the manufacturing process of Apple products in Indonesia.

“So one of them includes the possibility of manufacturing processes in Indonesia, because the market is open and there are a lot of Apple products, don't just import them, there is added value in Indonesia” , Budi Arie said at a press conference. at the Kominfo building.

Previously, at the State Palace, Minister of Industry (Menperin) Agus Gumiwang said that the process of building apple manufacturing in Indonesia had been agreed. The first step is to use components that can be produced in Indonesia.

“Later, the Ministry of Industry will carry out a company matching process. We already have a list of components,” he explained.

According to Agus, many HP components can be produced in Indonesia and perhaps can be combined with Apple's needs.

“It's called business matching, it's a faster process because the goods already exist, maybe later there will be adjustments to the specifications, etc. Later, when they start opening factories, this will also start to be discussed. This is one of the ways to expand their foothold in Indonesia,” Agus said.

The Indonesian government is looking into the reference to Vietnam. The country has been in the component supply chain for 15 to 20 years. Then there is China which has played a similar role for 30 years.

For this reason, Indonesia will participate in the process of becoming an integral part of the component supply chain for the global technology industry.

Budi Arie said that out of 360 mobile device product components, only 2 come from Indonesia. This figure is low compared to the 72 components from Vietnam.

“Mr. President also asked Tim Cook if more Apple components could be made in Indonesia. That's why the problem is called global supply chain. The more components, the better the value added,” said Budi Arie.

Jokowi's request was answered by Apple

Cook said Apple would consider President Jokowi's request to build an Apple manufacturing plant in Indonesia. He also sees Indonesia as an important market for Apple and has great investment potential.

“I think the investment capabilities in Indonesia are endless. I think there are many good places to invest and we are investing. We believe in this country,” he said.

Furthermore, Agus said Jokowi also requested that Apple's investment not be limited to the Apple Developer Academy. Currently, these educational institutions operate in three cities.

The Apple Developer Academy, which is currently located in Batam, Surabaya and Tangerang South, was built with a total investment value of Rp. 1.2 trillion. In addition, Apple also announced the establishment of the Apple Developer Academy in Bali, which will bring Apple's total investment to IDR 1.6 trillion.

“The president also conveyed the idea that in addition to creating an Apple Developer Academy, he could also create an innovation center in collaboration with best university in Indonesia. “This is something Mr Cook is very keen to follow up on,” he explained.

Aside from that, Budi Arie also said that Jokowi invited Apple to participate in the development of a smart city in the National Capital (IKN) of the archipelago.

[Gambas:Video CNBC]

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