Indonesia explores new investments in asphalt and textiles

Indonesian Minister of Investment and Downstreaming, Rosan Perkasa Roeslani, has held discussions in Shanghai, China, to explore several investment opportunities. Key topics included the automotive and electric vehicle sectors, textile industry strengthening, and renewable energy programs such as Waste to Energy (WtE) and a 100-gigawatt solar power initiative.

A significant proposal involves Xian Zhongli Asphalt Co., Ltd., which plans to invest approximately USD 60 million to build a Buton asphalt-based factory in Java. The facility aims for a production capacity of 600,000 tons per year, intended to reduce Indonesia’s reliance on oil asphalt imports and facilitate exports.

In the textile sector, discussions with Sweden’s HM Group and its supply chain partners from China and Hong Kong focused on developing new manufacturing facilities in Java. These plants would cover the full production chain, from yarn dyeing and weaving to garment production. The minister noted that these efforts aim to translate preliminary talks into concrete implementation plans through stakeholders and Danantara Indonesia.

Addressing recent stock market volatility and capital outflows, Rosan emphasized that long-term investment realization remains strong. He reported that investment realization from Q4-2024 to Q3-2026 reached Rp3,923.2 trillion, representing 30.1% of the 2025-2029 target. He attributed this stability to Indonesia’s political security and investment climate.