National automotive industry players and Japanese partners presented\nseveral inputs regarding the investment climate in Indonesia during a\nBusiness Discussion Lunch in Nagoya, Japan, on Saturday, 19 September\n2026. Key concerns included licensing, access to financing for small and\nmedium-sized enterprises (SMEs) supporting the automotive sector, and\nlocal content (TKDN) certification during the transition towards\nelectric vehicles.<\/p>\n
The Secretary of the Coordinating Ministry for Economic Affairs,\nSusiwijono Moegiarso, stated that the government welcomes this feedback\nand will follow up through policy improvements, including addressing\nongoing investment barriers, according to a press release on Sunday, 20\nSeptember 2026.<\/p>\n
The meeting, held at Izakaya Morinokura, was part of a series of\nworking visits by the Coordinating Ministry for Economic Affairs in\nNagoya. The government delegation was led by Susiwijono and accompanied\nby the Deputy for Coordination of Trade and Digital Economy, Ali Murtopo\nSimbolon. Executives from PT Toyota Motor Manufacturing Indonesia\n(TMMIN), Dendu Indonesia, Aisin Indonesia, and Advics Indonesia were\nalso in attendance.<\/p>\n
According to Susiwijono, the series of meetings in Nagoya\ndemonstrates that industrial competitiveness depends on technological\nmastery, the quality of human resources, and the strength of the supply\nchain. He noted that these three elements are vital components in the\ndevelopment of Indonesia\u2019s manufacturing and automotive industries.<\/p>\n
During the meeting, the government noted that Indonesia has signed 25\ninternational trade agreements, including both Free Trade Agreements\n(FTA) and Comprehensive Economic Partnership Agreements (CEPA). The\ngovernment also stated that the ratification process for several\nagreements has been completed to expand market access.<\/p>\n
One of the agreements set for imminent implementation is the\nIndonesia-European Union Comprehensive Economic Partnership Agreement\n(IEU-CEPA). The ratification process is scheduled to begin in November\n2026, with a target implementation date of January 2027.<\/p>\n
Domestically, the government stated it continues to strengthen\nconsumption and investment as pillars of the economy. Social assistance\nprogrammes, subsidies, and fiscal incentives are aimed at maintaining\npublic purchasing power. The government is also exploring the\ndevelopment of new sectors, particularly artificial intelligence (AI)\nand semiconductors.<\/p>\n
Indonesia has previously established cooperation with ARM and joined\nWAICO. The government is also in communication with PAX Silica. Such\ncollaborations are directed towards increasing productivity, including\nwithin the automotive industry, which is becoming increasingly dependent\non semiconductors and AI-based technologies.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/automotive-industry-highlights-licensing-and-tkdn-certification-issues-1789966332", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }