ASIATODAY.ID, JAKARTA — Indonesia is moving closer to its ambition of building a new industrial powerhouse in Southeast Asia as the Batang Special Economic Zone (SEZ) accelerates its transformation into a world-class manufacturing hub, envisioned as the country’s “new Shenzhen.”
The strategic development is being strengthened through the Two Countries Twin Parks (TCTP) cooperation between Indonesia and China’s Fujian Province, aimed at attracting investment, expanding industrial capacity, and integrating Indonesia deeper into global supply chains.
Coordinating Minister for Economic Affairs Airlangga Hartarto emphasized the need to accelerate concrete projects under the TCTP framework during a meeting with Fujian Vice Governor Zhao Zenglian in Jakarta.
“Following the direction of President Prabowo Subianto, the development of the Batang Special Economic Zone, inaugurated on March 20, 2025, as Indonesia’s Shenzhen, is expected to be realized through the acceleration of various concrete projects under the TCTP program,” Airlangga said on July 22, 2026.
Batang SEZ: Indonesia’s Gateway to Global Manufacturing
Strategically located in Central Java, the Batang SEZ is being positioned as a key industrial gateway to support Indonesia’s economic transformation.
The zone is designed to provide an integrated ecosystem for investors, combining infrastructure readiness, investment incentives, connectivity, and opportunities in manufacturing and downstream industries.
Through the Batang SEZ, Indonesia aims to strengthen its role in global production networks while creating a new center of economic growth outside traditional industrial regions.
Indonesia-China Partnership Drives Industrial Growth
The TCTP initiative has become a key platform for expanding Indonesia-China economic cooperation through industrial zones, local governments, and private sector collaboration.
To date, the partnership has produced 30 Memorandums of Understanding (MoUs) with estimated investment commitments of around IDR37.1 trillion.
Fujian Vice Governor Zhao Zenglian welcomed closer cooperation and expressed readiness to identify priority sectors with strong potential for joint development.
“We are committed to working together with the Indonesian government to promote the development of areas under the TCTP program,” Zhao said.
Building Asia’s Next Industrial Hub
Indonesia and Fujian are also strengthening supporting systems, including trade facilitation, customs coordination, logistics efficiency, and market access to ensure smoother investment flows.
The Indonesian government will incorporate the results of the meeting into the TCTP implementation masterplan as a strategic roadmap for future cooperation.
The rise of the Batang Special Economic Zone reflects Indonesia’s broader ambition to become a major industrial destination in Asia — combining investment, technology cooperation, and sustainable economic growth. (AT Network)
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