Latest news with #FebriHendriAntoniArief
The Star
2 days ago
- Business
- The Star
Indonesia's gas subsidy cut could slash industrial output, trigger layoffs: Industry Ministry
JAKARTA: Industry Ministry spokesperson Febri Hendri Antoni Arief said the ministry had received a flood of complaints from private companies reliant on the government's fixed natural gas price (HGBT) programme. According to him, supply disruptions and steep surcharges, such as state gas company PGN's tariff of US$16.77 per mmbtu, are squeezing manufacturers, particularly in energy-intensive sectors like ceramics, glass, steel, fertiliser, petrochemicals and oleochemicals. 'Energy costs make up a significant share of production expenses in these industries. Any increase in prices or cuts in HGBT supply erode margins, lower factory utilisation and, in the long run, deter investment, especially in energy-intensive manufacturing,' Febri said in a statement on Thursday (Aug 14). He added that this appears to be a recurring problem, despite the existence of a presidential decree that fixes the price and ensures supply continuity. 'No party or institution should attempt to override the President's order by raising the price above $6.5 or restricting the supply,' he noted. Indonesia's industrial gas demand is estimated at 2,700 million standard cubic feet per day (mmscfd), but the available HGBT supply is only 1,600 mmscfd, with about half, roughly 900 mmscfd, allocated to state-owned enterprise (SOE) consumers. He noted that SOEs such as PLN and Pupuk Indonesia have been the largest HGBT beneficiaries. 'Private manufacturers, the backbone of the national industrial base, are often treated differently. This imbalance risks undermining the business climate,' he said. 'If the private sector's share continues to shrink, the consequences will be immediate: reduced capacity, lower efficiency and potentially mass layoffs.' According to the ministry, 134,794 industrial workers rely on a stable HGBT supply. If volumes fall to just 48 percent of demand, a significant share of these jobs could be lost. The sectoral breakdown of workers at risk includes: fertiliser (10,420), petrochemicals (23,006), oleochemicals (12,288), steel (31,434), ceramics (43,058), glass (12,928) and rubber gloves (1,660). 'These figures are a serious alarm. Every gas policy must weigh its impact on industrial sustainability and the livelihoods it supports,' Febri said. Ministry data shows several sectors are already facing declining utilisation due to gas constraints. The national ceramics industry, for example, averaged 70 to 71 percent utilisation in the first half of 2025. 'If supply disruptions persist, even critical sectors like fertiliser, which supports President Prabowo's food self-sufficiency programme, could see output decline,' Febri warned. Previously, Indonesian Ceramics Association (Asaki) chairman Edy Suyanto said the ceramic industry in West Java is now limited to 48 percent of its HGBT gas allocation, down from the previous 60 percent set by PGN. In eastern regions, the cap is 40 percent. 'From August 13 to August 31, only 48 percent of the HGBT gas volume can be used, while the remainder will incur a surcharge of US$14.8 per mmbtu due to force majeure,' Suyanto said on Wednesday, as reported by Bisnis. He urged the government to resolve the disruption by ensuring adequate HGBT quotas. The industry is also grappling with a surge in low-priced ceramic imports, which is putting additional pressure on domestic production. - The Jakarta Post/ANN
Yahoo
07-03-2025
- Business
- Yahoo
Apple's iPhone 16 Still on Hold in Indonesia Despite Key Certification Win
Apple (NASDAQ:AAPL) has cleared a major hurdle in Indonesia, securing local content certificates for 20 products, including the iPhone 16. But before the devices hit shelves, the company still needs a few more approvals, Reuters reported, citing an industry ministry spokesperson. The certificates cover 11 phone models and nine tablets, granted after Apple met local content requirements, said ministry spokesperson Febri Hendri Antoni Arief. However, the company now needs the green light from Indonesia's communications and trade ministries before it can officially start selling. This comes after months of back-and-forth between Apple and Indonesia. Last year, the country blocked iPhone 16 sales, saying Apple hadn't met local investment rules. The tech giant initially proposed a $100 million investment, later increasing it to $1 billion in December. Now, with a $300 million commitment in placeincluding manufacturing and R&D plansit looks like Apple is finally close to sealing the deal. This article first appeared on GuruFocus. Sign in to access your portfolio
Iraqi News
07-03-2025
- Business
- Iraqi News
Apple step closer to seeing end of Indonesia iPhone sales ban
Jakarta – Indonesia approved local certificates for more than a dozen Apple products on Friday, the industry ministry said, moving the tech giant a step closer to having a ban lifted on iPhone sales in Southeast Asia's biggest economy. Apple struck a deal with Indonesia last month to invest in the country of 280 million after months of deadlock over the tech titan's failure to meet regulations requiring phones to be built with at least 40 percent of components made locally. 'We have issued local content requirement certificates for 20 Apple products,' Industry Ministry spokesperson Febri Hendri Antoni Arief said in a statement. It did not specify the products that were certified, but local media reported they included the latest iPhone 16 model. Apple now needs to obtain a series of certificates and approvals from various ministries, the statement said. Jakarta rejected a $100 million investment proposal from Apple in November, saying it lacked the 'fairness' required by the government. Apple later agreed to invest $150 million in building two facilities — one in Bandung in West Java province to produce accessories, and another in Batam for AirTags. Industry Minister Agus Gumiwang Kartasasmita said last month that Apple had also committed to building a semiconductor research and development centre in Indonesia, calling it a 'first of its kind in Asia'. Despite the ban on iPhone sales in Indonesia, the government had allowed the devices to be brought in if they were not being traded commercially. Indonesia has also banned the sale of Google Pixel phones for failing to meet the 40 percent local parts requirement.
Yahoo
07-03-2025
- Business
- Yahoo
Apple gets local content certificates in Indonesia, still needs more permits
JAKARTA (Reuters) -Indonesia has issued local content certificates for 20 Apple products, including the iPhone 16, an industry ministry spokesperson said on Friday, although the company still needs permits from other ministries before it can sell the phones. The issuing of the certificates follows last month's announcement of more than $300 million investments by Apple in Indonesia, including on plants making components for its products and a research and development centre. Indonesia banned iPhone 16 sales last year due to Apple's failure to meet requirements on locally-made components. Apple was granted certificates for 11 phone models and 9 tablets because it had met the requirements, ministry spokesperson Febri Hendri Antoni Arief said. The company now needs permits from the communications and digital ministry and the trade ministry to be able to sell its products in the country, Febri added. Apple, Indonesia's communications ministry, and the trade ministry did not immediately respond to a request for comment. Indonesia's industry minister had said the months-long negotiations with Apple had been "tricky." Apple was outside the top five smartphone brands in Indonesia in the third quarter of last year, according to research firm Canalyst. Sign in to access your portfolio
