Indonesia is encouraging economic cooperation with China not to stop\nat increasing trade and investment, but also to strengthen technological\nmastery and national industrial capacity. This push emerged during a\nbilateral meeting between Coordinating Minister for Economic Affairs\nAirlangga Hartarto and Chinese Commerce Minister Wang Wentao in Shanghai\nin mid-July.<\/p>\n
Senior Advisor on Global Technology Cooperation at the Coordinating\nMinistry for Economic Affairs and Chairman of Anak Muda Amankan\nNusantara (AMAN), James Karnadi, accompanied Airlangga at the meeting,\nwhich took place on the sidelines of the World Artificial Intelligence\nConference (WAIC) 2026.<\/p>\n
The meeting discussed strengthening trade and investment relations,\nindustrial cooperation, the digital economy, and supply chain\ndevelopment between Indonesia and China. Both parties also discussed the\nprogress of the Two Countries, Twin Parks programme, including\nopportunities to strengthen connectivity between Indonesian industrial\nestates and production and technology centres in China.<\/p>\n
James said that investment cooperation needs to deliver broader\nbenefits for the domestic economy, particularly through technology\ntransfer, talent development, job creation, and industrial capacity\nbuilding.<\/p>\n
\u201cIndonesia welcomes partnerships that are open and mutually\nbeneficial. However, every strategic investment must also strengthen\nIndonesia\u2019s production capabilities, technological mastery, and the\nquality of its human resources. We must not merely become a market, but\nmust grow as a centre of industry and innovation,\u201d James said in a press\nrelease on Wednesday (12\/8\/2026).<\/p>\n
According to James, the government\u2019s economic diplomacy direction\nneeds to be translated into cooperation that yields concrete benefits\nfor the national economy. He also believes that the business community,\nyoung people, and the Indonesian diaspora need to be involved in\nfollowing up high-level agreements into business projects, productive\ninvestment, and talent development.<\/p>\n
\u201cEconomic diplomacy does not end at the meeting table. Its success is\ndetermined by our ability to translate political agreements into real\nprojects, job opportunities, market access, and improved national\nindustrial capacity,\u201d he stressed.<\/p>\n
China is one of Indonesia\u2019s main economic partners. In 2025,\nbilateral trade between the two countries reached approximately 167.48\nbillion US dollars, with Indonesian exports growing by 16.7 percent.<\/p>\n
When combined with Hong Kong, total Chinese and Hong Kong investment\nin Indonesia in 2025 reached approximately 18 billion US dollars.<\/p>\n
Beyond trade and investment, the meeting discussed digital economy\ncooperation, supply chains, and industrial estate development. Both\nparties also evaluated the implementation of a memorandum of\nunderstanding on investment worth approximately 2.5 billion US dollars,\nincluding opportunities to strengthen industrial estates in Batam.<\/p>\n
Amid global technology competition, James believes Indonesia needs to\nmaintain room to cooperate with various countries while ensuring that\nnational interests remain the foundation of every partnership.<\/p>\n
\u201cIndonesia can cooperate with all parties without losing its\nindependence in determining the direction of development. Our position\nmust be clear: open to collaboration, yet still sovereign over\ntechnology, data, resources, and the future of national industry,\u201d James\nsaid.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/indonesia-and-china-discuss-technology-transfer-to-strengthen-industry-1786548018", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }