Prabowo Tasks Danantara with Reviewing Lotte Chemical Investment in Indonesia
Jakarta (ANTARA) - Coordinating Minister for Economic Affairs Airlangga Hartarto stated that President Prabowo Subianto has tasked Danantara with reviewing and following up on Lotte Chemical's investment in Indonesia.
"Danantara has been given the task of conducting a review and following up on the investment," said Airlangga in a press statement after accompanying President Prabowo in a meeting with 19 South Korean corporate groups at Merdeka Palace, Jakarta, on Monday.
Airlangga said Lotte Chemical's investment project in Indonesia would be inaugurated between September and October this year. The facility, he said, forms part of a large-scale petrochemical plant development programme in Indonesia.
Airlangga noted that the South Korean company had offered Indonesia the opportunity to participate in the project. "Lotte Chemical offered Indonesian participation and the President has in principle agreed that Indonesia will participate in Lotte Chemical," said Airlangga.
Previously, in September last year, Investment Minister and head of the Investment Coordinating Board (BKPM) Rosan Roeslani said the Rp59.37 trillion petrochemical project belonging to PT Lotte Chemical Indonesia (PT LCI) was ready to commence operations in March 2025.
Rosan said the construction of the petrochemical plant was nearly complete, at approximately 98.7 per cent. PT LCI is one of the investment projects successfully facilitated by the government following the establishment of the Investment Acceleration Task Force by Indonesia's seventh president Joko Widodo through Presidential Decree Number 11 of 2021.
After facing various licensing obstacles and land overlaps for six years, the project successfully resumed construction in April 2022. The project encompasses the construction of petrochemical facilities to produce polypropylene and other downstream products such as butadiene and BTX (benzene, toluene, xylene). These products will serve as essential raw materials for various industries including bottle manufacturing, tyres, paint, medical equipment, and insect repellent.
Rosan assessed that the petrochemical industry is vital for downstream industrialisation in Indonesia, noting that the company also employs 14,000 workers.
"Danantara has been given the task of conducting a review and following up on the investment," said Airlangga in a press statement after accompanying President Prabowo in a meeting with 19 South Korean corporate groups at Merdeka Palace, Jakarta, on Monday.
Airlangga said Lotte Chemical's investment project in Indonesia would be inaugurated between September and October this year. The facility, he said, forms part of a large-scale petrochemical plant development programme in Indonesia.
Airlangga noted that the South Korean company had offered Indonesia the opportunity to participate in the project. "Lotte Chemical offered Indonesian participation and the President has in principle agreed that Indonesia will participate in Lotte Chemical," said Airlangga.
Previously, in September last year, Investment Minister and head of the Investment Coordinating Board (BKPM) Rosan Roeslani said the Rp59.37 trillion petrochemical project belonging to PT Lotte Chemical Indonesia (PT LCI) was ready to commence operations in March 2025.
Rosan said the construction of the petrochemical plant was nearly complete, at approximately 98.7 per cent. PT LCI is one of the investment projects successfully facilitated by the government following the establishment of the Investment Acceleration Task Force by Indonesia's seventh president Joko Widodo through Presidential Decree Number 11 of 2021.
After facing various licensing obstacles and land overlaps for six years, the project successfully resumed construction in April 2022. The project encompasses the construction of petrochemical facilities to produce polypropylene and other downstream products such as butadiene and BTX (benzene, toluene, xylene). These products will serve as essential raw materials for various industries including bottle manufacturing, tyres, paint, medical equipment, and insect repellent.
Rosan assessed that the petrochemical industry is vital for downstream industrialisation in Indonesia, noting that the company also employs 14,000 workers.