Indonesian Political, Business & Finance News

Indonesia Eyes Xiamen's Industrial Strength to Accelerate Manufacturing Transformation

| | Source: NIAGA.ASIA Translated from Indonesian | Industry
Indonesia Eyes Xiamen's Industrial Strength to Accelerate Manufacturing Transformation
Image: NIAGA.ASIA

The Ministry of Industry (Kemenperin) is expanding its international cooperation network to accelerate national industrial transformation and enhance the manufacturing sector’s global competitiveness. This strategic momentum was seized by Kemenperin by exploring closer collaboration opportunities with the Xiamen Municipal Government of the People’s Republic of China, on the sidelines of the 2026 BRICS Forum on Partnership on New Industrial Revolution (PartNIR).

Minister of Industry Agus Gumiwang Kartasasmita stated that the BRICS PartNIR Forum is a crucial platform for strengthening industrial transformation and the adoption of cutting-edge technology. “Indonesia is committed to continuously expanding international collaborations that can provide real added value for national industrial development, particularly in welcoming the era of the fourth industrial revolution,” said the Minister in Jakarta.

This tactical step was followed up through a bilateral meeting between the Indonesian delegation, led by the Director General of Resilience, Regionalisation, and International Industrial Access (KPAII) at Kemenperin, Tri Supondy, and the Mayor of Xiamen, Wu Bin, in Xiamen last week. The meeting focused on optimising Xiamen’s potential as one of China’s leading Special Economic Zones (SEZ), as well as investment opportunities in strategic sectors.

“We see that Xiamen has a highly advanced industrial ecosystem that is relevant to Indonesia’s industrial development direction. Through closer partnerships, we hope to encourage incoming investment, technology transfer, and collaboration that supports the strengthening of global supply chains and the development of sustainable industrial estates,” said Director General of KPAII, Tri Supondy. Tri added that Indonesia is opening wide cooperation doors for business actors from Xiamen. In response, the Xiamen Municipal Government has submitted a cooperation proposal targeting several leading sectors to become an investment pipeline, including the automotive industry, data centres, healthcare services, digital tourism, the fisheries sector, and prefabricated construction.

As one of the first SEZs in China, Xiamen is known for its competitive advantages in the semiconductor industry, electronic components, smart electrical equipment, port logistics, and aviation maintenance (Maintenance, Repair, and Overhaul/MRO). This significant potential is considered aligned with the priority agenda of the Making Indonesia 4.0 roadmap and the development of modern, integrated industrial estates in the country.

On this occasion, the Indonesian delegation also promoted the investment attractiveness of the industrial regionalisation sector. Indonesia currently has 175 industrial estates with a total area exceeding 98 thousand hectares. These estates are ready to accommodate investors from Xiamen with the support of various fiscal and non-fiscal incentives to ensure a conducive, competitive, and secure business climate.

Economic relations between Indonesia and China continue to show a positive trend. China is currently Indonesia’s largest trading partner, with bilateral trade value reaching USD 154.5 billion last year. Besides trade, China also consistently remains one of the major investors in Indonesia, with a significant focus on commodity downstreaming, manufacturing, and industrial infrastructure development.

Through active participation in the BRICS PartNIR agenda, Indonesia affirms its position to continuously expand market access and global technology partnerships. The concrete cooperation being explored with the Xiamen Municipal Government is expected not only to strengthen bilateral economic relations but also to accelerate the creation of an innovative, independent, and sustainable national manufacturing ecosystem.

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