Prabowo Asserts US Investments Must Follow Rules, Downstreaming an Absolute Requirement
Liputan6.com, Jakarta - President Prabowo Subianto has emphasised that Indonesia remains open to investment cooperation with the United States (US). However, all incoming investments must follow national regulations and cannot disregard the country’s interests.
According to Prabowo, discussions regarding tariff agreements with the US do not alter Indonesia’s fundamental principles in managing investments, especially in the natural resources sector.
He highlighted the importance of applying international market prices in managing critical minerals to ensure Indonesia continues to obtain optimal economic value.
“Regarding critical minerals. I have said, we are open. But everything at market price. At economic price,” Prabowo stated in an interview cited on Monday (23/3/2026).
This statement reinforces that openness to investment does not mean granting unlimited leeway to foreign investors.
Not a New Matter, Freeport as an Example
Prabowo explained that the involvement of foreign parties in Indonesia’s mining sector is not new. The government has long opened opportunities for this, as long as investors follow applicable rules.
He cited the cooperation with Freeport-McMoRan, which has been ongoing for decades and now constitutes one of the country’s largest revenue contributors.
“So if they want to follow (the rules), we permit them to mine at Freeport. It has been decades. Freeport now generates one of our largest revenues. We permit it,” he clarified.
According to Prabowo, this experience demonstrates that foreign investment can provide significant benefits as long as it is conducted in accordance with national regulations.
Downstreaming as the Main Requirement, No Raw Material Exports Allowed
Although open to foreign investment, Prabowo stressed that the government continues to prioritise the downstream policy as the primary requirement.
Indonesia no longer permits the export of raw materials without domestic processing. This policy aims to increase added value and strengthen the national economy.
“Raw materials, we ask to be processed. If they want to mine and process here, of course,” he asserted firmly.
He also emphasised that critical minerals are strategic commodities that must provide maximum benefits for Indonesia.
“Critical minerals are a commodity. If they pay international market price, whether they operate or we do, we get the economic value. The important thing is we give access,” he said.
With this principle, the government ensures that foreign investment remains open, but must support downstream processing and provide optimal economic value for Indonesia.