ASIATODAY.ID, JAKARTA — The Chair of Indonesia’s National Economic Council (DEN), Luhut Binsar Pandjaitan, has finally addressed the controversy surrounding the Indonesia Morowali Industrial Park (IMIP) Special Airport in Morowali, Central Sulawesi, which has recently been criticized for allegedly operating without state oversight.
Luhut emphasized that all decisions regarding the airport were part of a national strategy to strengthen Indonesia’s nickel downstreaming industry, a project now under intense global scrutiny.
“If anyone accuses this decision of being made unilaterally by President Jokowi, I want to stress that full coordination was carried out under my supervision,” said Luhut on Monday, December 1, 2025.
IMIP Airport: A Strategic Facility for Downstreaming, Not Foreign Interests
Luhut explained that the IMIP airport permit was issued during his tenure as Coordinating Minister for Maritime Affairs and Investment under President Joko Widodo. The decision was made through formal meetings with relevant ministries.
“The decision was made in a meeting I chaired with the relevant institutions. The airport is intended only for domestic flights as an investment facility for the Morowali downstreaming project,” he said.
According to Luhut, providing such facilities is a common practice in Southeast Asian countries, including Vietnam and Thailand, which offer incentives to major investors.
“If an investor injects US$20 billion, it is reasonable for them to request certain facilities, as long as national regulations are respected,” Luhut added.
He also clarified that IMIP Airport was never authorized as an international airport, making claims that it operates “unchecked” misinformation that could be exploited by foreign interests.
Indonesia’s Downstreaming as a Global Geopolitical Target
The IMIP airport controversy resurfaced after Defense Minister Sjafrie Sjamsoeddin commented that the airport lacked state supervision.
Luhut believes the scrutiny is not merely domestic but part of a geopolitical tug-of-war between China and the United States, both vying for influence over Indonesia’s strategic downstreaming projects.
“We are not siding with China or United States of America (USA). We are siding with Indonesia. In fact, at the time, China was the only country ready to invest,” Luhut said.
The IMIP airport is privately managed under the supervision of the Directorate General of Civil Aviation through the Airport Authority Region V Makassar. Since August 2025, it has also been authorized to handle direct international flights, according to Minister of Transportation Decree KM 38/2025, without changing its status as a domestic investment facility.
Luhut Challenges All Critics
Luhut emphasized that all allegations targeting the airport or the nickel downstreaming project must be backed by verified data.
“I welcome anyone to come to me with data if they want to question the decision. Downstreaming is a national interest, not a tool for any global power,” he stressed.
With this statement, Luhut highlighted that the IMIP Airport controversy is not just about domestic governance, but also about Indonesia’s sovereignty amid global geopolitical competition.
Morowali, the center of nickel downstreaming, has become a strategic point where China’s economic ambitions, U.S. diplomatic pressure, and Indonesia’s national interests converge, turning it into a high-stakes arena crucial for the country’s strategic industrial future. (AT Network)
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