Following Apple, US investors set to invest in Indonesia
JAKARTA – Rosan Perkasa Roeslani, Minister of Investment and Downstreaming and Head of the Investment Coordinating Board (BKPM), has revealed plans for significant investment from major US companies in Indonesia, with commitments valued in the billions of dollars.
"As I've previously mentioned, our target is within this first quarter. I am confident we can close the deal. The value is quite substantial, in the billions (of US dollars)," Rosan stated after attending the World Bank's report dissemination event in Jakarta on Monday (10/2).
While he refrained from disclosing details about the companies or the sectors involved, Rosan assured that these investments would bolster Indonesia's business and industrial ecosystem.
Earlier, Apple Inc. had made its own investment in Indonesia through its vendor partners by establishing an AirTag factory in Batam, Riau Islands. According to Rosan, Apple’s vendor has already taken concrete steps by purchasing land in Batam.
"I am in continuous communication with Apple; they have already started investing by purchasing land in Batam," Rosan revealed during a press conference on 2024 Investment Realisation at the BKPM office, Jakarta, on Friday (31/1).
Rosan emphasised that investment through vendors is a common practice for Apple, which has also applied this approach in other countries such as India, Vietnam, and Malaysia.
An iPhone unit, for example, involves around 320 vendors, with over 35 vendors in Vietnam and Malaysia, nearing 40. In contrast, Indonesia currently has only one vendor.
Rosan sees this as a crucial moment for Indonesia to enhance its investment appeal and become an integral part of the global supply chain.
Apple's move, along with other US companies investing in Indonesia, signals that the country is increasingly competitive in the global investment landscape.
"I believe this is the case because I’ve had discussions with several investors, and I am confident that in the first quarter, we will secure significant investment from other American companies," Rosan concluded. (EF/ZH/KR)