Category: Uncategorized

The use of local currencies in bilateral trade and investment between Indonesia and China has continued to grow rapidly. From January to July 2025, local currency transaction (LCT) values between the two countries reached US$6.23 billion, nearly tripling from US$2.17 billion in the same period last year. The scheme has delivered tangible benefits by improving transaction efficiency, lowering conversion costs, and supporting financial stability.

The progress was highlighted during a meeting between Bank Indonesia (BI) Governor Perry Warjiyo and People’s Bank of China (PBoC) Governor Pan Gongsheng in Beijing on September 11. Perry emphasized that the achievement marked a significant milestone in the 75th anniversary of Indonesia–China diplomatic relations. He expressed confidence that stronger business participation and deeper economic cooperation would continue to drive bilateral growth.

“This reflects our shared commitment to strengthening collaboration and building a more connected, secure, and inclusive financial ecosystem. Bank Indonesia will continue to work closely with the PBoC and other stakeholders to foster innovation and expand financial integration,” Perry said in a written statement.

Governor Pan echoed this sentiment, noting that as Asia’s largest developing economies, China and Indonesia share responsibilities in addressing global challenges. He underlined that bilateral trade and investment had long been supported by a strong foundation of financial cooperation, making the expansion of LCT both timely and essential.

Indonesia’s broader LCT initiatives with other partner countries also showed growth in the same period. Transactions reached US$5.08 billion with Japan, US$2.03 billion with Malaysia, US$644 million with Thailand, US$85 million with South Korea, and US$72 million with the United Arab Emirates.

Alongside LCT, Bank Indonesia and the PBoC conducted a limited sandbox trial for cross-border payment connectivity using QRIS, Indonesia’s QR code standard. The pilot project, involving the Indonesian Payment Systems Association (ASPI) and Chinese payment industry partners, demonstrated not only technological advancement but also the potential to expand inclusion, affordability, and access to financial services.

The joint efforts on LCT and QRIS illustrate the close synergy between central banks, financial institutions, and payment system associations in both countries. Beyond strengthening bilateral ties, these initiatives are expected to contribute to a more resilient, inclusive, and competitive digital financial ecosystem across the region.

September 11, 2025, detikFinance(https://finance.detik.com/moneter/d-8106839/ri-china-makin-mesra-genjot-lct-dan-qris-antarnegara)

Indonesian President Prabowo Subianto inaugurated the laying of the first stone or groundbreaking of the largest electric vehicle (EV) battery ecosystem project in Asia, in Karawang, West Java, today, Sunday (6/29/2025). The largest EV battery industry project in Asia has a total investment from upstream to downstream reaching US$ 5.9 billion, equivalent to IDR 96.04 trillion (assuming an exchange rate of IDR 16,278 per US$). The project is operated by PT Aneka Tambang (Antam), PT Indonesia Battery Corporation (IBC), and a Chinese company, Ningbo Contemporary Brunp Lygend Co. Ltd. (CBL), which is a joint venture between CATL, Brunp and Lygend.

In this inauguration, Indonesian President Prabowo Subianto stated that this groundbreaking has historical and strategic value. Therefore, he took the time to attend it. In fact, the ideals of downstreaming have been around for a long time, namely from the first President of the Republic of Indonesia, Soekarno, to the 7th President, Joko Widodo, who actually started the program.

“This groundbreaking is proof of the seriousness of our leaders in collaborating with our partners and our friends in China. We can work together with a program that I think can be said to be colossal, it can be said to be an extraordinary breakthrough,” explained Prabowo.

The Largest Integrated Battery Industry Project in Asia. The project consists of a total of six joint ventures (Joint Ventures/JVs) ranging from upstream to downstream projects. In detail, JVs one to three are battery ecosystems on the upstream side. Meanwhile, JVs four to six are battery ecosystems on the downstream side.

Upstream:

JV 1: Nickel mining project of PT Sumberdaya Arindo (SDA) with a production capacity of 7.8 million wet metric tons (wmt) of saprolite nickel and 6 million wmt of limonite, a total of 13.8 million wmt with a share ownership portion of PT Antam of 51% and CBL of 49%. This project has started production since 2023. JV 2: Rotary Kiln Electric Furnace (RKEF) nickel refining and processing facility (smelter) project of PT Feni Haltim (FHT) with a capacity of 88 thousand tons of refined nickel alloy per year with a share ownership portion of CBL of 60% and PT Antam of 40%. This project is targeted to start production in 2027. JV 3: High Pressure Acid Leaching (HPAL) nickel refining and processing facility project (HPAL JVCO) PT Nickel Cobalt Halmahera (HPAL JVCO) with a capacity of 55 thousand tons of MHP per year with a share ownership portion of CBL 70% and PT Antam 30%. This project is targeted to start production in 2028.

Downstream:

JV 4: Battery material project that will produce cathode materials, cobalt sulfate, and ternary precursors with a capacity of 30 thousand tons of Li-hydroxide located in East Halmahera, North Maluku with a share ownership portion of CBL 70% and PT IBC 30%. This project is targeted to start production in 2028. JV 5: Battery cell project PT Contemporary Amperex Technology Indonesia Battery (CATIB) located in Artha Industrial Hill (AIH) & Karawang New Industry City (KNIC). This project is divided into phase 1 with a capacity of 6.9 GWh/year and phase 2 with a capacity of 8.1 GWh/year, a total capacity of 15 GWh/year. Meanwhile, CBL’s share ownership portion is 70% and PT IBC’s is 30%. This project is targeted to start production in 2026 for phase 1, and in 2028 for phase 2. JV 6: The battery recycling project is located in East Halmahera, North Maluku with a capacity of 20 thousand tons of metal/year with CBL’s share ownership portion of 60% and PT IBC’s is 40%. This project is targeted for 2031. Specifically for JV 5, phase 1 of the Li-ion battery cell project is targeted to start operating completely by the end of 2026. Meanwhile, in the second phase of the JV 5 project, which will later operate with a capacity of up to 15 GWh/year, it is targeted to operate in 2028.

June 29, 2025, CNBC Indonesia(https://www.cnbcindonesia.com/news/20250629145258-4-644692/prabowo-resmikan-proyek-baterai-ev-ri-rp9604-triliun-ini-pemiliknya)

Indonesian President Prabowo Subianto met with Malaysian Prime Minister (PM) Anwar Ibrahim at the Merdeka Palace, Jakarta, on Friday (6/27/2025). The meeting resulted in a number of important agreements, ranging from accelerating bilateral cooperation to handling strategic issues such as borders and joint regional development. The meeting was attended by a number of high-ranking Indonesian officials, including Coordinating Minister for the Economy Airlangga Hartarto, Minister of Foreign Affairs Sugiono, Minister of Defense Sjafrie Sjamsoeddin, Minister of Investment Rosan Roeslani, and Minister of Communication and Digital Meutya Hafid.

Similar Countries and Establishing Strategic Partnerships. Prabowo said that the meeting between himself and PM Anwar discussed, among other things, bilateral issues between the two countries, as well as ASEAN regional issues, and global issues. The two leaders also agreed to accelerate cooperation in various strategic sectors, ranging from economy, trade, science, education, to culture. One of the crucial issues discussed was the resolution of border issues where both countries have a strong commitment to resolving the issue in order to strengthen friendship and cooperation.

Support Palestinian Independence and a Peaceful Solution to the Middle East Conflict. Prabowo said that Indonesia and Malaysia have the same view on the importance of a peaceful resolution in the conflict area. Both countries also agreed to fully support Palestinian independence.

“Regarding Palestine, we continue to support Palestinian independence. Only a two-state solution can end the conflict. Indonesia and Malaysia see the need for global collective efforts to encourage peaceful resolution of conflicts,” said Prabowo.

On the other hand, Malaysian PM Anwar Ibrahim also emphasized the importance of ASEAN’s role and bilateral cooperation in facing various global challenges. He expressed his appreciation for Indonesia’s leadership in the region, including in responding to conflicts in the Middle East and Southeast Asia.

“In dealing with, for example, tariff issues and issues of restraints on international relations, our strengths are domestic strength, bilateral strength, and ASEAN strength. And we must foster this with the spirit that exists among the leaders,” said PM Anwar.

Resolve Border Issues and Regional Collaboration. Border issues are also one of the main focuses of the meeting between the two countries. RI-Malaysia are committed to resolving border issues peacefully and quickly in order to strengthen bilateral relations. Anwar said that resolving maritime and border issues would open up opportunities for broader regional collaboration, including within the ASEAN framework.

Solution for Ambalat. Specifically, for the Ambalat region, Indonesia and Malaysia have agreed to implement a joint development approach as a short-term solution while waiting for legal settlement.

“For example, the Ambalat problem, we agreed that while we resolve legal issues, we want to start with economic cooperation that we call joint development. Whatever we find at sea, we will exploit it together,” Prabowo explained. Meanwhile, Anwar supports this approach, emphasizing that economic cooperation does not need to be delayed by a long legal process.

Maximize Trade & Investment Potential. In addition, RI-Malaysia agree that the trade and investment potential between Indonesia and Malaysia has not been optimally developed. “Our investment and trade potential is very large, but it has not been maximized. This is detrimental considering our close relationship,” Anwar said.

To that end, they are committed to taking concrete steps to increase economic cooperation, including in the trade, investment, education, and cultural sectors.

June 27, 2025, CNBC Indonesia

(https://www.cnbcindonesia.com/news/20250627204818-4-644491/5-poin-penting-pertemuan-prabowo-dan-pm-malaysia-anwar-ibrahim)

President Prabowo Subianto inaugurated the Bali International Hospital (BIH) in Sanur, Denpasar. The hospital with international standard facilities is managed by PT Pertamina Bina Medika Indonesia Healthcare Corporation (IHC), a subsidiary of Pertamina. The inauguration of BIH is part of the first phase of the development of the Sanur Special Economic Zone (KEK). Prabowo emphasized the importance of superior health facilities in Indonesia as a large and dynamic country.

“Indonesia is a large, dynamic country, and must have the best facilities. We must become a service center, able to accept patients from Southeast Asia, the Pacific, and others,” said Prabowo in his statement, Thursday (6/26/2025).

Meanwhile, Pertamina President Director Simon Aloysius Mantiri stated that Pertamina through its subsidiary, Pertamina Bina Medika IHC, supports the government’s program in developing superior health facilities in the regions as a form of public health services.

“We encourage Pertamina Bina Medika IHC to present a world-class hospital so that the Indonesian people can enjoy modern health facilities with a comfortable environment,” he said.

On the other hand, the President Director of IHC, Major General TNI (Ret.) Dr. dr. Lukman Ma’ruf, said that BIH presents international quality services to the place closest to the heart, namely Bali.

“This is where the latest medical technology, global expertise, and world standards meet with local tranquility and wisdom. We believe that the Indonesian people deserve the best care without having to go far. In Bali, healing will now feel closer, more enjoyable, and more meaningful,” he explained.

BIH is built on an area of ​​67,465 m², with a capacity of 255 beds. BIH also has centers of excellence (Centers of Excellence) in the fields of Cardiology, Oncology, Neurology, Gastroenterology & Hepatology, and Orthopedic (CONGO). BIH is also supported by strategic partnerships with global institutions, such as SingHealth (Singapore), Icon Cancer Center (Australia), Sapporo Cardiovascular Clinic (Japan), and Innoquest (Singapore).

“All services will run with the support of a team of trained specialists and the latest diagnostic and therapeutic technology,” added Dr. Lukman.

The inauguration of BIH was attended by a number of Ministers of the Red and White Cabinet, President Commissioner of PT Pertamina (Persero) Mochamad Iriawan, President Director of PT Pertamina (Persero) Simon Aloysius Mantiri, President Director of PT Pertamina Bina Medika IHC, Major General TNI (Ret.) Dr. dr. Lukman Ma’ruf, and President Director of BIH dr. Dewi F. Fitriana.

Pertamina as a leading company in the field of energy transition is committed to supporting the 2060 net zero emission target by continuing to encourage programs that have a direct impact on achieving the Sustainable Development Goals (SDGs). All of these efforts are in line with the implementation of Environmental, Social, & Governance (ESG) across all of Pertamina’s business lines and operations.

June 26, 2025, detikFinance

(https://finance.detik.com/infrastruktur/d-7982972/prabowo-resmikan-bali-international-hospital-hadirkan-fasilitas-kelas-dunia)

The Ministry of Industry is trying to maintain the availability of industrial salt to support production activities in the pulp and paper industry sector. Through this effort, it is hoped that the performance of the pulp and paper industry will increasingly contribute significantly to the national economy. The Director General of Agro Industry of the Ministry of Industry, Putu Juli Ardika explained that industrial salt is used in Chlor-Alkali CAP to produce chlorine, sodium hydroxide (NaOH), and hydrogen through the electrolysis process of salt solutions.

“These basic chemical products are an important part of the bleaching process, breaking down wood fibers, controlling pH, to the formation of final products in the pulp and paper industry,” said Putu in his statement in Jakarta, Thursday (26/6).

Based on February 2025 data, the pulp and paper industry in Indonesia recorded an export value of US$ 8.09 billion or IDR 131.05 trillion (exchange rate of IDR 16,200. In detail, the pulp industry contributed US$ 3.56 billion, while the paper industry reached US$ 4.44 billion.

“This positive performance also contributes to the provision of employment, with direct employment of 288 thousand people and indirect employment of around 1.2 million people,” he said.

On a separate occasion, the Indonesian Pulp and Paper Association (APKI) conveyed the need for government support to fulfill industrial salt which is very important for the pulp and paper industry. APKI hopes that the government can facilitate these needs in order to support the sustainability and growth of the industry.

“Industrial salt is not just an auxiliary material, but a vital component in the production process in the pulp and paper sector. This need cannot be fully met domestically because of the very strict technical specifications,” said APKI Deputy Chairman Irsyal Yasman.

Furthermore, Irsyal said, on average The industrial salt requirement for the pulp and paper industry is 760 thousand tons per year with an average specification of a minimum sodium chloride content of 97%, a maximum water content of 2.5%, a maximum calcium of 0.045%, and a maximum magnesium of 0.026%.

“Unfortunately, currently domestic supply has not been able to meet these needs consistently, both in terms of quality and quantity,” he said.

June 26, 2025, detikFinance(https://finance.detik.com/berita-ekonomi-bisnis/d-7982950/ekspor-produk-pulp-paper-ri-tembus-rp-131-triliun)

Minister of Investment and Downstream/Head of BKPM Rosan Roeslani noted that the investment that had been realized in the first quarter of 2025 reached IDR 465.2 trillion. This realization increased by 15.9% compared to the fourth quarter of 2024 and increased by 2.7% compared to the same period last year. Of this amount, foreign investment (PMA) amounted to IDR 230.4 trillion or 49.3% of the total investment realization. Meanwhile, investment in the form of domestic investment amounted to IDR 234.8 trillion or 50.5% of the total investment realization. Meanwhile, this PMA increased by 12.7% in the first quarter of 2025.

Meanwhile, the realization of this PMA came mostly from Singapore US$ 4.6 billion. The second position is Hong Kong US$ 2.2 billion and third, there is China US$ 1.8 billion. Then, the fourth position is occupied by Malaysia US$ 1 billion and Japan US$ 1 billion. Then the sectors with the most PMA realization are basic metals, metal goods, not machinery and equipment, mining, transportation, warehousing and telecommunications, other services and chemical and pharmaceutical industries.

BKPM noted that in terms of location, West Java is the favorite for PMA with a total investment realization of US$ 2.2 billion. Furthermore, the second position is occupied by Central Sulawesi with an investment realization of US$ 1.9 billion and third, there is Jakarta US$ 1.7 billion. Then, the fourth and fifth positions are North Maluku and Banten amounting to US$ 1.4 billion and US$ 1 billion.

April 29, 2025, CNBC Indonesia

(https://www.cnbcindonesia.com/news/20250429111045-4-629578/bkpm-tumbuh-127-realisasi-investasi-asing-capai-rp-230-t-di-q1)

Indonesia is increasingly serious about developing geothermal energy potential to support national energy independence. In the Indonesia-Japan energy forum in Bali, PLN Indonesia Power collaborated with a Japanese company, INPEX Geothermal, to accelerate the development of this underutilized green energy resource. The agreement is a real step by the government in achieving the energy transition target while reducing dependence on fossil fuels. This collaboration was marked by the signing of a memorandum of understanding between PLN Indonesia Power which was signed directly by the President Director of PLN Indonesia Power Edwin Nugraha Putra and the Director of INPEX Geothermal, Ltd Yasutoshi Seki.

Secretary General of the Ministry of Energy and Mineral Resources Dadan Kusdiana who opened IJEF 2024 and witnessed the signing of the memorandum of understanding between PLN Indonesia Power and INPEX Geothermal said that the New Prabowo-Gibran Government has launched eight main missions called “Asta Cita”, which is designed to achieve the vision of “Together Towards a Golden Indonesia 2045”. One of these missions is energy self-sufficiency.

“Strong bilateral cooperation between Indonesia and Japan in the energy and mineral sector offers a path to a sustainable and resilient energy future. In addition, Indonesia is also trying to achieve energy self-sufficiency by utilizing its abundant natural resources, we collaborate with technological expertise from Japan,” said Dadan in an official statement, Friday (6/12/2024).

Dadan continued, at several international events such as APEC and the G20 Summit, President Prabowo Subianto emphasized the importance of green energy independence, by replacing fossil fuels with renewable energy and the importance of cooperation in the energy transition. Indonesia’s green energy potential is also quite large, such as geothermal energy with a potential of 23 GW, this country has only utilized 11% of its capacity.

“Likewise, although the potential for solar energy exceeds 3,000 GW, its application is still a challenge. We also have hydropower potential, especially in Eastern Indonesia and very large bioenergy potential,” added Dadan.

Meanwhile, on the same occasion, the President Director of PLN Indonesia Power said that as a subholding generation company, PLN Indonesia Power has a major role in developing green energy to accelerate the energy transition and achieve the Net Zero Emission target by 2060. One of the breakthroughs made by the corporation is to collaborate with parties that have competence and experience such as INPEX Geothermal.

“INPEX Geothermal has quite a long experience in developing geothermal energy. With this collaboration, we can further improve our competence in developing geothermal energy,” said Edwin.

Indonesia’s efforts to reduce carbon emissions are also in line with the commitment of the Japanese Government. Deputy Commissioner for International Affairs of the Ministry of Economy, Trade and Industry (METI) Japan Masanori Tsuruda said that Prime Minister Shigeru Ishiba in October 2020 declared Japan’s Efforts to reduce greenhouse gas (GHG) emissions by 46 percent by 2030 and to zero by 2050.

“Japan will continue to strive hard in its challenge to meet the noble goal of reducing global emissions. To achieve the target of zero carbon emissions by 2050, Japan will accelerate the energy transition, reduce the use of fossil fuels and switch to new renewable energy. We will do this through various channels,” said Masanori.

December 6, 2024, detikFinance

(https://finance.detik.com/energi/d-7674582/ri-gandeng-perusahaan-jepang-genjot-potensi-energi-panas-bumi)

Indonesia and Canada have substantially completed the Comprehensive Economic Partnership Agreement (CEPA) trade agreement. This agreement is expected to increase bilateral trade between the two countries.

The signing of the declaration of completion of the CEPA negotiations between Indonesia and Canada was carried out by the Indonesian Minister of Trade (Mendag) Budi Santoso and the Canadian Minister of Export Promotion, International Trade, and Economic Development Mary Ng.

“Today marks two important events, namely the signing of a joint declaration on the completion of the Canada-Indonesia Comprehensive Partnership Agreement negotiations, and the start of Team Canada’s largest trade mission,” said Mary at a press conference in Senayan, Central Jakarta, Monday (2/12/2024).

“This important moment reflects the strong and broad relationship between Canada and Indonesia, which was strengthened by last month’s productive meeting between Prime Minister Justin Trudeau and President Prabowo Subianto. Their discussions highlighted shared priorities, particularly in addressing food and energy security, and encouraged collaboration that benefits both countries,” she said.

Mary then said that Canada is committed to providing technical assistance and capacity building to facilitate the implementation of CEPA in Indonesia.

“In this agreement there is a commitment of US$25 million over five years, and this really reflects our commitment and belief that your (Indonesia’s) success is our success,” he added.

Mary said that they were very pleased that the support and investment mechanism would be created to support the effective implementation of the special trade agreement in Indonesia.

“This support will really drive economic growth for all of our businesses of all sizes and really make trade work for everyone in our economy. So, we are very excited about that,” he added.

Indonesia itself is Canada’s 22nd largest trading partner worldwide and the third largest among Southeast Asian countries.

In 2023, two-way trade in goods between Canada and Indonesia was worth 5.1 billion Canadian dollars (IDR57.6 trillion), while Canadian exports of goods to Indonesia were worth 2.3 billion Canadian dollars (IDR25.9 trillion). This makes Indonesia Canada’s largest export market that year among ASEAN members.

December 2, 2024, CNBC Indonesia

(https://www.cnbcindonesia.com/news/20241202151947-4-592731/indonesia-kanada-rampungkan-perjanjian-dagang-ica-cepa-apa-untungnya)

The Ministry of Industry is actively introducing the capabilities of the domestic industry at various international events. The goals include expanding market access, opening up opportunities for cooperation, and attracting investment. This effort, for example, is through facilitating six national wire and cable industries to participate in the 2024 Wire and Cable Show Vietnam exhibition in Hanoi, on November 20-22, 2024.

“This exhibition is an important event for Indonesia to promote the domestic wire and cable industry which already has a high Domestic Component Level (TKDN) so that it can open up opportunities for market access and involvement in the global supply chain,” said the Director of the Metal Industry, Directorate General of Metal, Machinery, Transportation Equipment and Electronics (ILMATE) of the Ministry of Industry, Rizky Aditya Wijaya in his official statement, written Wednesday (11/27/2024).

Based on records from the Indonesian Cable Manufacturers Association (Apkabel), the capabilities and capacity of the fiber optic cable industry in Indonesia are already qualified and have been able to produce all types of fiber optic cables from small to large sizes. Whether it is for indoor, air and ground use, or duct, as well as submarine cables.

Currently, the total production capacity of the fiber optic cable industry reaches 15 million ScKm (Kmfiber). All fiber optic cable processes including coloring, tubing, stranding, armoring, and sheathing or jacketing can be done 100 percent domestically. The Director of Metal Industry explained that the cable industry sector as one of the downstream products of copper is a sector that must continue to be developed to support copper downstreaming. This is in line with the Asta Cita of President Prabowo Subianto’s Government, one of the points of which is to continue downstreaming and industrialization to increase domestic added value.

The 2024 Vietnam Wire and Cable Show as one of the largest wire and cable industry exhibitions in Vietnam provides an exhibition space of almost 3,500 m2 and displays around 132 booths with 92 exhibitors. Wire and Cable Show Vietnam 2024 is a combination of industry business exhibition and forum, R&D, manufacturing design, application development, and global supply chain connectivity.

During the exhibition, Indonesian industries also obtained several potential buyers in Vietnam for several products, such as flame retardant cables, photovoltaic cables, and fiber optic cables. Indonesia’s participation in the Wire and Cable Show Vietnam 2024 is also expected to attract new consumers for domestic manufacturers, especially the cable industry, so as to expand market access and penetrate the global supply chain.

November 27, 2024, detikFinance(https://finance.detik.com/industri/d-7658574/eksis-di-vietnam-industri-kabel-ri-siap-tembus-pasar-global)