PT Kawasan Industri Terpadu Batang (KITB) in Central Java announces investments totaling IDR 3 trillion for its phase two expansion, with foreign investors securing land for industrial use.
Wanxinda, a Chinese company, starts groundbreaking in December on 98 hectares of the 350-hectare industrial land it secured in the KITB phase two expansion.
Chris Soemijantoro, Director of Investment at Danareksa, reveals that a total of five companies, including Wanxinda, have signed agreements, with others in the pipeline for potential investments.
PT Xiang Jiang Group Indonesia, another Chinese company, invests approximately US$ 40–50 million in the KITB expansion, contributing to the growing international interest in the industrial zone.
KITB in Central Java is designated as a National Strategic Project (PSN), with the Ministry of Public Works and Housing targeting its completion by late 2023.
While part of KITB phase two is yet to be sold, Danareksa emphasizes a quality-driven approach, ensuring that the industrial zone attracts reputable tenants to enhance the value chain.
The completion of KITB phase one, dominated by manufacturing companies, witnessed 14 tenants with a total investment of IDR 6.8 trillion and an estimated workforce of 15,707.
Minister of Public Works and Housing, Basuki Hadimuljono, underscores the government’s commitment to utilizing local labor and promoting domestic products in developing the Batang industrial zone.
The construction of KITB represents a new development model, utilizing state-owned land and government-provided facilities to streamline the setup for investors, fostering immediate operations upon construction completion.
