In a significant development for bilateral relations, Indonesia and China have inked three investment agreements collectively valued at approximately $2 billion, or Rp36 trillion. This partnership was formalized at the Indonesia-China Partnership Forum held in Jakarta, marking a strategic move to bolster cooperation in key sectors such as renewable energy, manufacturing, and infrastructure.
The centerpiece of these agreements is a $1.35 billion project to develop a 300-megawatt agrivoltaic solar power plant in North Sumatra. This innovative initiative aims to merge solar energy production with agricultural activities, positioning it as one of the region’s most substantial renewable energy endeavors. The project underscores a shared commitment to sustainable development and energy innovation.
In addition to the solar power initiative, further agreements were reached involving Indonesian food and beverage company Jobubu Jarum Minahasa and China’s Guangxi G. Taste Food Co., Ltd. Another collaboration was made between Telkom Properti Indonesia and CNEC Engineering Indonesia, indicating a broadening scope of investment and cooperation between the two nations.
Indonesia’s Ambassador to China, Djauhari Oratmangun, emphasized the nation’s objective to draw in high-quality investments that generate employment opportunities, facilitate technology transfer, and fortify domestic industries. He pointed to renewable energy, electric vehicles, artificial intelligence, smart manufacturing, and green technology as promising areas for future collaboration between Indonesia and China.
Reflecting on the ongoing economic ties, Indonesia’s Ministry of Investment reported that Chinese investments in Indonesia have amounted to $38.34 billion from 2021 through the first half of 2026. These investments have been instrumental in creating over 500,000 jobs, highlighting the significant impact of Chinese capital on Indonesia’s economic landscape.