The United States has identified Indonesia as one of seven countries to receive support in becoming a semiconductor hub.
Under Secretary of State for Economic Growth, Energy, and the Environment, Jose W. Fernandez, announced the U.S.’s support during a media conference at the U.S. Embassy in Jakarta on Monday, July 15, 2024.
Fernandez highlighted that Indonesia has significant potential to become part of the 21st-century semiconductor industry, supported by the U.S. under the CHIPS Act.
“We have designated Indonesia as one of the seven countries to receive our support to become a semiconductor hub,” he said.
The U.S. support includes educational opportunities, investments from American semiconductor companies, and exchange programs.
Fernandez also mentioned that the Organisation for Economic Cooperation and Development (OECD) visited Indonesia last week at the request of the U.S. to assess the country’s semiconductor ecosystem.
Fernandez also met with Indonesian government officials to discuss critical minerals, companies, and investors.
He emphasized the substantial potential for cooperation in the field of critical minerals, with ongoing discussions about critical minerals agreements.
This visit marked Fernandez’s first trip to Indonesia as Under Secretary of State, although he had visited here six times during President Barack Obama’s administration.
Fernandez pointed out that his frequent visits reflect the significant potential for U.S.-Indonesia relations in areas such as commerce, people-to-people exchanges, and energy.
In his meetings with Indonesian officials, Fernandez addressed several key issues, including:
Joint Energy Transition Partnership (JETP): A program for collaborative energy transition.
Energy and Critical Minerals: Potential cooperation in Indonesia’s energy and critical minerals sectors.
Indonesia’s OECD Membership Aspiration: Indonesia’s efforts to join the OECD.
Environmental Issues: Discussions on plastic pollution, general pollution, and related agreements.
Semiconductors: The main focus of the discussions, emphasizing efforts to develop Indonesia’s semiconductor ecosystem.
This collaboration aims to help Indonesia advance in the semiconductor industry, supported by U.S. investments and opportunities provided by American semiconductor companies.
