Industries

Luhut Binsar Pandjaitan, the most powerful cabinet member, has finally met Elon Musk at Tesla’s newly built Gigafactory in Texas, USA this week. While they’ve been communicating regularly, that’s the first meeting in persons. The meeting between two of the most influential persons is interesting for several reasons.

Indonesia, which was long a net importer of iron and steel, posted nearly US$3 billion of surplus in iron and steel (HS 72) alone in the first quarter of 2022, surged by 130% from the corresponding period of 2021. The country recorded export revenues of US$6.66 billion, expanded by 83% from the same period last year, while import increased by 58% to US$3.73 billion.

Indonesia booked trade surplus of US$4.53 billion last month, expanded by 18% from February, thanks to surplus in non oil and gas segment. Pretty much as predicted, the Russia-Ukraine war, which lifted oil and gas prices, led to widening of deficit by 52% year-on-year to US$2.1 billion, but the country in general gained from higher average price of thermal coal, palm oil, and industrial metals.

PT Surya Wicaksana Gunanusa (SWG) acquires majority shares (96.98%) of PT Swing Indonesia, a company engaged in designing and construction of water and wastewater treatment facilities, from Swing Corporation, Japan for undisclosed considerations.

Indonesia is the second largest producer of natural rubber in the world, but it generates substantially smaller revenues from the export market than Malaysia. In the first 10 months of 2021 alone, Malaysia recorded around US$15 billion of export revenues from natural rubber and rubber products, surged by nearly 71% from the corresponding period of 2020, driven by huge demand for latex-based goods, including medical gloves.

Tuan Sing Holdings Limited, a property company controlled by Nursalim Family, has entered into partnership with Mitsubishi Estate Co Ltd to develop an international luxury outlet mall in Karawang, West Java province. 

Chinese nickel company Lygend Resources and Technology Co Ltd has applied for an initial public offering (IPO) in the Hong Kong Stock Exchange (HKEX). While details of the IPO yet to be revealed, proceeds will likely be used to finance the company’s ambitious projects in Obi Island, North Maluku province.