ASIATODAY.ID, JAKARTA — Indonesia and the United Kingdom have strengthened their expanding strategic partnership with the signing of a £50 million (approximately US$72 million/IDR1.17 trillion) joint venture between PT Wiraraja Indonesia and Polythene UK Ltd, reinforcing bilateral cooperation in sustainable manufacturing, industrial investment, and technology transfer.
The agreement represents one of the latest tangible outcomes of the Indonesia–UK New Strategic Partnership, as both countries deepen collaboration in trade, investment, green industry, and innovation.
The joint venture will focus on developing higher value-added manufacturing industries in Indonesia through investment, advanced technology, and industrial expertise. It follows a series of business meetings held during PT Wiraraja Indonesia’s visit to the United Kingdom in late June 2026.
The negotiations and signing were facilitated by the Indonesian Embassy in London, the Indonesia Investment Promotion Center (IIPC) London, and Indonesia’s Ministry of Investment and Downstream Industry/BKPM as part of broader efforts to strengthen bilateral investment and industrial cooperation.
Indonesian Ambassador to the United Kingdom, Ireland, and the International Maritime Organization, Desra Percaya, on June 30, said the agreement reflects growing confidence between Indonesian and British businesses and a shared commitment to building long-term partnerships that generate value for both countries.
The investment builds on the New Strategic Partnership formally launched during the meeting between Indonesian President Prabowo Subianto and British Prime Minister Keir Starmer in London in January 2026.
During the summit, both leaders agreed to elevate bilateral relations through four strategic pillars: economic growth; climate, energy and environmental cooperation; defense and security; and human capital development.
President Prabowo described the United Kingdom as a key partner with advanced technology, strong financial capabilities, and significant investment potential to support Indonesia’s long-term economic transformation.
The leaders also expanded cooperation in the maritime sector, including British support for Indonesia’s plan to build around 1,500 fishing vessels and modernize fishing villages to improve food security, strengthen coastal economies, and raise national protein consumption.
Economic ties were further reinforced through the signing of an Economic Growth Partnership (EGP) by Coordinating Minister for Economic Affairs Airlangga Hartarto and UK Secretary of State for Business and Trade Peter Kyle. The framework is designed to accelerate cooperation in priority sectors including clean energy, digital economy, finance, infrastructure, transportation, agriculture, food security, healthcare, life sciences, resilient supply chains, and sustainable trade.
According to the Indonesian government, bilateral trade between Indonesia and the United Kingdom reached US$2.78 billion in 2024, while British investment in Indonesia totaled US$402.6 million through the third quarter of 2025, with major investments in mining, food processing, agriculture, industrial estates, and services.
The latest manufacturing agreement underscores the growing momentum of Indonesia–UK economic relations, demonstrating both countries’ commitment to expanding sustainable industrial investment, accelerating technology transfer, and building more resilient supply chains as Indonesia positions itself as a leading manufacturing and green industry hub in Southeast Asia. (AT Network)
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