Apple has reached an agreement with the government to lift the sales ban on iPhone 16 in Indonesia. According to Indonesian law, at least 35% of the components of smartphones sold in the country must be locally produced. Apple failed to comply with this rule in the iPhone 16 model, leading the Indonesian Ministry of Industry to ban the device’s sales in the country. According to Bloomberg, the American tech giant has made a deal with the Indonesian government to lift this ban. As part of the agreement, Apple will invest $1 billion in a facility to produce components for smartphones and other products in Indonesia. In addition to this investment, it is claimed that Apple will train local employees on R&D for its products in Indonesia. The training is said to be conducted through programs outside of Apple’s own academies. While an official statement detailing the specifics of the agreement has not been released, it is speculated that Apple will not invest in iPhone production in Indonesia. Another country with local production requirements for smartphone sales is India. Under the Make in India program that promotes local production, India mandates that at least 30% of the components of smartphones must be locally sourced. Furthermore, tax incentives to encourage local production, such as local assembly and establishing production facilities, are being provided. India ranks second and Indonesia seventh in the list of largest smartphone markets. These countries, offering significant opportunities to phone manufacturers, can choose to impose regulations that compel foreign companies to invest in their nations due to the appeal of their sizable populations.