Danantara CTO Details Challenges in Semiconductor and Critical Mineral Processing

The Chief Technology Officer of Danantara Indonesia, Sigit Puji Santosa, has outlined that the main challenge in domestic mineral downstreaming is technology. He noted that incoming partners have not focused on technology transfer, but rather on merely extracting raw materials.

“Therefore, the technological process remains the first challenge. However, the technology gap is no longer significant for some minerals, but it is most pronounced for minerals used in semiconductors. For certain specialised minerals, the gap is indeed large because only the most advanced nations can handle them,” Sigit detailed at the Mindialogue 2026 event on Wednesday (12/8/2026).

To address this, Danantara is taking strategic steps to partner with universities to establish research and development centres. This move is supported by President Prabowo, who has gathered 2,600 rectors and deans and offered them 31 to 40 industrialisation projects under Danantara. The aim is for universities to identify their respective strengths for collaboration.

“This is our foundation to close the gap through universities. But within strategic ministries, we can build resources and also develop experience so that we can succeed,” Sigit concluded.