Apple upped its efforts to start iPhone 16 sales in Indonesia, offering to invest $100 million in local production over two years, a tenfold increase from a previous offer, Bloomberg reported.

The news outlet reported Indonesia’s Ministry of Industry is demanding Apple changes its investment strategy to one more oriented towards R&D than just local production.

A decision on Apple’s revised proposal has not been made, officials told the news agency.

The smartphone giant is obviously keen to bring its latest device to the country, which US Census Bureau data shows had a population of more than 281 million as of 1 July, ranking it as the world’s fourth most-populated nation.

Counterpoint Research director Marc Einstein told Mobile World Live Indonesia is not currently a huge market for Apple in terms of shipments and market share. “But it is an important one for the future, with its growing middle class and an average age of only 30 years. Apple’s investment offer is a strong bet on the future.”

The ministry halted sales of the iPhone 16 last month as it did not meet a requirement for 40 per cent of its components to be locally made.

Earlier this month, Apple proposed an investment of $10 million to manufacture components and accessories in Bandung, located around 153km southeast of capital city Jakarta.