Bahlil Lahadalia, Minister of Investment said that Chinese investors will start groundbreaking construction in North Kalimantan industrial area for 3 different industries.
This factory is located in the Bulungan at the Indonesian Industrial Park area (KIPI), in North Kalimantan, which is targeted to start production in early 2024.
This area is designed to accommodate at least three types of industries, namely electric vehicle batteries, petrochemicals, and aluminium. The entire industry will later be planned to get green energy from the Hydroelectric Power Plant (PLTA) located in North Kalimantan.
“This is the largest green industrial park in the world. If this is realized properly, all industries will flock here,” said President Joko ‘Jokowi’ Widodo.
As many as four CEOs of large companies from China have discussed with China regarding investment in this area. This area will be developed for downstream industries using New and Renewable Energy (NRE) for petrochemical products, and electric car batteries.
“They will carry out the groundbreaking after several internal conditions from China are completed, most likely in December this year,” said Bahlil, on July 29, 2023.
This step is considered to be in accordance with the directives of the previous President Jokowi who instructed to follow up on investment commitments from China so that they can be realized.
Meanwhile, there will also be cooperation with Adaro Energy to realize development in this industrial area.
“I think they will cooperate with Adaro and this will be resolved together,” said Bahlil.
On the other hand, the President has delivered assurances to Chinese businessmen regarding Indonesia’s commitment to maintaining a stable and well-run investment climate.
The President also appealed to all levels of investors not to hesitate in expressing the obstacles they face when investing in Indonesia. These obstacles are in the form of problems in the field such as land acquisition and permits.
