Indonesian Political, Business & Finance News

South Korean Investor Accelerates in Batang: Rp429 Billion Invested, 6,000 Jobs...

| | Source: BATIKTV.ID Translated from Indonesian | Investment
South Korean Investor Accelerates in Batang: Rp429 Billion Invested, 6,000 Jobs...
Image: BATIKTV.ID

The Batang Industrial Special Economic Zone (KEK Industropolis) has once again demonstrated its appeal to global investors. This time, foreign direct investment (FDI) worth Rp429 billion from South Korea has officially entered through PT Simone Batang Indonesia, a manufacturing company focused on leather products targeting the export market.

The investment agreement was marked by the signing of the Industrial Land Utilisation Agreement (PPTI) held at the Ballroom of the KEK Industropolis Batang Management Office on Wednesday (6/5). The signing was conducted by Indri Septa Respati, Director of Marketing & Development of KEK Industropolis Batang, and Kim Jung Shik, President Director of PT Simone Batang Indonesia.

With this investment, PT Simone Batang Indonesia will develop production facilities on a land area of 8.28 hectares. Not only strengthening the export industry sector, this project is also projected to create around 6,000 new jobs for the community.

The entry of this investment provides a fresh wind for the national manufacturing industry, especially amid Indonesia’s efforts to attract global industry relocations and strengthen its position in the world supply chain.

Indri Septa Respati stated that the presence of PT Simone is concrete evidence of increasing foreign investor confidence in Indonesia, particularly in KEK Industropolis Batang.

“This shows that Batang is increasingly being considered as a global production base. Many international companies now see this zone as a strategic point for expansion and exports,” she said.

PT Simone itself is not a newcomer in the global industry. Established in 1987, the company has production networks in various countries such as Vietnam and Cambodia. Globally, Simone controls around 10 percent of the world market share and 30 percent of the US market, with retail value exceeding USD 7 billion.

President Director of PT Simone Batang Indonesia, Kim Jung Shik, assessed that Indonesia has great potential as a future production centre in Asia.

“We see a strong combination here—government policy support, industrial zone readiness, and large workforce potential. This is the main reason we chose Batang,” he explained.

The factory construction is planned to start in the next two months. The project is targeted to be completed in July 2026 and to begin operations gradually in July 2027.

This investment is expected not only to drive an increase in national exports but also to provide real economic impacts through job absorption and strengthening of the domestic industry.

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