Improved connectivity
Following inauguration of the Greater Jakarta light-rail transit (LRT) this morning, the last section of Cinere-Jagorawi toll road, a key component of the Jakarta Outer Ring Road-2 (JORR-2), will soon enter commercial operation to further improve connectivity in the Greater Jakarta areas.
Greater Jakarta LRT, Finally
After some delays and eight years of construction, President Joko ‘Jokowi’ Widodo has on Monday (Aug 28) inaugurated the Greater Jakarta Light Rail Transit (LRT). Built with over US$2 billion of investment, successful commercial operation of the LRT will likely be expanded to connect satellite cities of Bogor, Depok, and Tangerang.
Walk the Talk: Vale-Huayou’s Nickel for EV
Nickel miner Vale Indonesia (INCO), co-owned by state mining company MIND ID, Vale, and Sumitomo Metal Mining, announced on Friday (August 25) that it signed a definitive cooperation agreement with Zhejiang Huayou Cobalt Co. Ltd (Huayou) and PT Huali Nickel Indonesia (Huali) to construct high-pressure acid leaching (HPAL) facilities.
Mitr Phol heats up competition in sugar industry
Thailand sugar producer Mitr Phol has reportedly acquired a 75% shares in Kebun Tebu Mas (KTM), one of sugar refineries in Indonesia, but the value of the deal yet to be disclosed.
Toll road projects update
President Joko ‘Jokowi’ Widodo is scheduled to inaugurate the Indralaya-Prabumulih (64.5 KM) toll road in South Sumatra province soon, which will boost connectivity in Sumatra Island, home to around 60 million population. This might be followed with inauguration of Binjai-Pangkalan Brandan (57.5 KM) in North Sumatra province in the coming months.
Electric motorcycle industry update
Electric vehicle, including motorcycle, might be one of solutions to improve air quality in most cities. The Energy and Mineral Resources (ESDM) Ministry is intensifying efforts to convert conventional motorbikes into electric vehicles to achieve the target of net-zero emissions by 2060.
Persistent pressures on textile & garment
The upstream textile industry is pressured by imported products, so it could not gain from the momentum of economic recovery after the Covid-19 pandemic. That said, the utilization of this strategic industry fell to below 50% in the first half (H1) of 2023, much lower than the same period last year, at 75-78%. There are even factories running only 30% of installed capacity.
More investments in manufacturing
Minister of industry Agus Gumiwang Kartasasmita has on Wednesday (Aug 9) met Takao Kato, CEO of Mitsubishi Motor Corporation (MMC) to discuss the automotive giant’s plan to invest Rp5.7 trillion in Indonesia. Mitsubishi plans to boost its production capacity to 250,000 units per annum by next year. Mitsubishi plans to produce 176,000 cars in Indonesia this year with target to produce 231,000 units next year, of which 98,000 units for export market.
Heavy Equipment Industry Update
The Indonesian Heavy Equipment Industry Association (Hinabi) reported that construction and mining heavy equipment production during the first half (H1) of 2023 corrected slightly to 4,014 units, from 4,042 units in the same period of 2022.
Faster EVolution
Germany, United Kingdom, and France, three of the largest automotive markets in Europe, reported strong performance of electric vehicle (EV) sales in the first seven months of the year.