ASIATODAY.ID, SHANGHAI — Indonesia is stepping into the global artificial intelligence (AI) race as Coordinating Minister for Economic Affairs Airlangga Hartarto leads a delegation to Shanghai to sign the founding agreement of the World Artificial Intelligence Cooperation Organization (WAICO), a new international platform aimed at strengthening cooperation, governance, and innovation in AI development.
Indonesia’s participation as one of the founding signatories marks a strategic move to ensure the country has a voice in shaping the future rules, ethical standards, and cooperation frameworks surrounding artificial intelligence.
Rather than becoming only a major consumer of digital technologies, Indonesia aims to position itself as an active contributor to the global AI ecosystem.
“Indonesia’s involvement as one of the first signatories demonstrates the government’s commitment to ensuring Indonesia becomes a key player in the global digital economy, not merely a market,” Airlangga said during his visit to Shanghai.
AI as a New Engine of Economic Growth
The establishment of WAICO is expected to support Indonesia’s ambition to make the digital economy one of the country’s future growth engines.
Through the platform, Indonesia seeks to strengthen international cooperation in AI research, digital infrastructure, technology transfer, talent development, and responsible AI governance.
The Shanghai visit also focuses on accelerating partnerships with leading technology companies in China, particularly in artificial intelligence, advanced robotics, telecommunications infrastructure, and digital innovation.
Airlangga is scheduled to hold business meetings with executives from several technology companies, including ByteDance, Unitree, Deep Robotics, and FiberHome, to explore potential investment and collaboration opportunities.
The government expects these engagements to encourage the development of a stronger high-tech industrial ecosystem in Indonesia.
Transforming Indonesia–China Economic Partnership
The AI cooperation initiative builds upon a strong economic foundation between Indonesia and China.
China remains one of Indonesia’s largest investment partners. In 2025, Chinese investment in Indonesia reached US$7.5 billion, while investment from Hong Kong reached US$10.6 billion, making the combined contribution the largest source of foreign direct investment into Indonesia.
The partnership is also supported by expanding trade relations. According to China’s General Administration of Customs (GACC), bilateral trade between the two countries reached US$167.36 billion in 2025, making China Indonesia’s largest trading partner.
Indonesia’s key exports to China include minerals, nickel products, iron and steel, vegetable oils, and metal ores.
During January–June 2026, Indonesia recorded a trade surplus of US$5.6 billion with China, reflecting the continued strength of bilateral economic ties.
From Resources to Technology Partnership
For years, Chinese investment in Indonesia has been concentrated in sectors such as metals, mining, and energy. Through AI cooperation, Jakarta is seeking to expand the partnership into higher-value industries driven by innovation and advanced technology.
The government believes collaboration in AI, robotics, and digital infrastructure can increase productivity, create new economic opportunities, and strengthen Indonesia’s competitiveness in the global economy.
Indonesia’s Emerging Role in Asia’s AI Future
As countries compete to lead the next wave of artificial intelligence development, Indonesia’s entry into WAICO signals a broader ambition: to participate in defining the future of AI governance while attracting strategic investment and technology cooperation.
With its large digital economy, growing technology sector, and strategic position in Southeast Asia, Indonesia is positioning itself as an important partner in Asia’s rapidly evolving AI landscape. (AT Network)
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