Indonesia’s sovereign wealth fund management agency, BPI Danantara, confirmed that it has not yet finalized the investment amount it may commit to the US$800 million (Rp13 trillion) Chlor Alkali-Ethylene Dichloride (CA-EDC) plant project, currently being developed by a subsidiary of PT Chandra Asri Pacific (TPIA).
“We’ll inform you once the deal is finalized,” Danantara’s Chief Investment Officer, Pandu Sjahrir, told a media conference at the Indonesia Stock Exchange (IDX) Building in Jakarta on Monday, July 28, 2025.
Pandu added that any agreement between Danantara and TPIA’s subsidiary would be officially announced through public disclosures. However, he did not confirm whether the potential investment would involve a controlling stake or simply be a portfolio investment.
TPIA is currently developing a world-scale chemical industry project with a total investment of US$800 million, targeted for completion by 2027. As part of its 2025 investment plan, TPIA has allocated between US$350 million and US$400 million (Rp5.5–6.3 trillion) in capital expenditure.
The funds will be directed toward the construction of the CA-EDC plant, managed by its subsidiary, PT Chandra Asri Alkali (CAA). This initiative is part of the strategy to strengthen domestic petrochemical supply chain.
Suryandi, Director of HR & Corporate Affairs at Chandra Asri Group, said the construction of the CA-EDC plant is expected to enhance the downstream industrial supply chain in Indonesia. The facility will produce essential base chemicals that serve a wide range of industries, including textiles, pulp and paper, and water treatment.
“With its strong multiplier effect, this project will also contribute to job creation and bolster national industrial self-sufficiency,” Suryandi said as quoted in a statement released on May 6, 2025.
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