Minister: Major Investments Coming from the US

Coordinating Minister for Economic Affairs Airlangga Hartarto, speaking at a press conference in Jakarta on Thursday (24/7/25,) outlined several investment commitments from US-based companies in sectors including clean energy, digital technology, and healthcare, according to reporting from Antara News.

“The US is one of Indonesia’s main trading partners, with an export share of 11.2 percent. In terms of investment, the U.S. was among the top five investors last year, with a total of USD 3.7 billion,” he said, adding that the latest commitments reflect strong confidence in Indonesia’s economic outlook, particularly following a recent trade agreement between the two countries.

One of the largest investment plans comes from ExxonMobil, which is exploring the construction of a USD 10-billion carbon capture and storage (CCS) facility, he said.

In the technology sector, leading global firms including Oracle, Microsoft, and Amazon have expressed interest in expanding their operations in Indonesia, says Antara News.

Oracle plans to invest USD 6 billion in data center projects, Microsoft is set to build cloud and artificial intelligence infrastructure worth USD 1.7 billion, and Amazon aims to strengthen its artificial intelligence and cloud facilities with an investment of up to USD 5 billion, Hartarto said.

In healthcare, General Electric, through GE Healthcare, will collaborate with Kalbe Farma to build Indonesia’s first CT scanner factory in West Java. The initial investment for this project is estimated at IDR 178 billion (nearly USD 11 million).

Antara News reports that Hartarto also emphasized that the government’s success in negotiating the trade deal helped save approximately one million jobs in labor-intensive sectors.

Previously, the US imposed a 32 percent import tariff on Indonesian products. Under the new agreement, that rate has been reduced to 19 percent.

As part of the deal, Indonesia has agreed to eliminate around 99 percent of tariff barriers on various US industrial and agricultural products.

In return, the US will maintain a 19 percent tariff on Indonesian exports and offer opportunities for further reductions on commodities not available domestically.

Indonesia has also committed to removing non-tariff barriers, including exempting certain US goods from local content requirements and recognizing FDA certification for US health and pharmaceutical products.

On digital trade, Indonesia has pledged to provide legal certainty for cross-border data transfers and support the moratorium on import duties for electronic transmissions at the WTO, says Antara News.

“The joint statement demonstrates the political commitment of both countries and will serve as a basis for further trade agreements,” Hartarto said.

Source: Antara News

Stock photo by Kaboompics.com on Pexels

 

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