Industries

President Joko “Jokowi” Widodo is optimistic that Indonesia can optimize clean energy sources, one of which is through the development of Green Industrial Estate. Jokowi stated that Tanah Kuning-Mangkupadi in North Kalimantan province will become the biggest green industrial estate in the world, where electricity can be massively sourced from hydro power plants as well as solar panels.

The Government continues to promote two new Special Economic Zone (SEZ)—-Nongsa Digital Park (NDP) and Batam Aero Technic (BAT)—-in Batam Island, Riau Islands province. Few days ago, coordinating ministry for the economy brought in chief editor from some national media outlets to visit NDP, which was set as SEZ based on Government Regulation No. 68/2021. 

Development of two multi billion dollar toll road projects in Java Island, the one connecting Solo-Yogyakarta-Kulonprogo and Yogya-Semarang (Bawen), which will unlock economic potentials in central part of the island, progressed well despite difficulties in land acquisitions.

Late last year PT Polytama Propindo (PLTM), the second largest manufacturer of polypropylene resin (PP resin) in Indonesia behind Chandra Asri, signed an agreement with LyondellBasell to expand production capacity from 180,000 tons to 300,000 tons per annum. 

PT Hutama Karya, a state-owned EPC firm tasked to develop the trans-Sumatra toll road, booked net loss of Rp671 billion in the first half ended June 30, 2022, fell significantly from loss of Rp1.24 trillion in the corresponding period last year, thanks to improved toll road operations.

Even when G20 Summit has been relocated to Bali Island, we notice fast development of tourism infrastructure in Labuan Bajo and Golo Mori, West Manggarai regency, Flores Island, East Nusa Tenggara province. There are at least 11 global hotel chains building resorts in the tourism destination.

Go East! In the meeting of President Joko ‘Jokowi’ Widodo with Kishida Fumio, Japanese Prime Minister last July, Jokowi asked the Prime Minister to speed up the completion of several strategic projects in Indonesia including an industrial park in West Papua province. After Sulawesi and Maluku, can Papua be the next?

PT Vale Indonesia Tbk (INCO), China’s Zhejiang Huayou Cobalt Co., Ltd, and global automaker Ford Motor Co have just signed a non-binding memorandum of cooperation to create a three-party relationship in Indonesia to process nickel ore mined by Vale Indonesia at Pomalaa Block, Kolaka, Southeast Sulawesi.