Indonesia and China have reached an agreement on 16 new investment projects, with a total investment value of $2.19 billion (approximately IDR 36.4 trillion), covering a wide range of sectors from base metals and seafood processing to advanced technologies such as drones, batteries, and artificial intelligence.

These projects are part of efforts to deepen bilateral industrial cooperation between Indonesia and China under the “Two Countries, Two Parks” (TCTP) framework.

“These projects cover a series of strategic fields, including base metals, meat and seafood processing, textiles, tea, furniture, drones, batteries, and artificial intelligence.”

Given the market size and industrial strength of both nations, the partnership between Indonesia and China holds significant economic potential.

“This is indeed an important milestone, showcasing the open and extensive cooperation between the two countries. This is a huge market, offering opportunities for businesses and for both nations.”

The 16 projects were initiated under a Memorandum of Understanding within the “Indonesia-China Cooperation Mechanism” (TCTP) framework, witnessed jointly by the Indonesian President and the Premier of the State Council of China, and formally signed in May 2025 by the Indonesian Foreign Minister and the Chinese Minister of Commerce.

The “Indonesia-China Cooperation Mechanism” aims to promote downstream industrial development, facilitate cross-border investment, and integrate the supply chains of Indonesia and China, particularly in the manufacturing and resource-based industries.

Looking ahead, Indonesia expressed willingness to engage in deeper cooperation in higher value-added fields.

“Indonesia welcomes broader cooperation in infrastructure, logistics, downstream industries, manufacturing, renewable energy, the digital economy, artificial intelligence, quantum computing, food security, healthcare, and human capital development.”

Indonesia

Indonesia is a Southeast Asian archipelago nation comprising over 17,000 islands, whose history is marked by powerful Hindu-Buddhist kingdoms like Srivijaya and Majapahit, followed by centuries of Dutch colonial rule. It is renowned for its immense cultural and biological diversity, with significant sites including the ancient Borobudur temple complex and the vibrant artistic traditions of Bali. The country declared its independence in 1945 and is now the world’s largest Muslim-majority nation.

China

China is one of the world’s oldest continuous civilizations, with a recorded history spanning over 4,000 years, marked by successive dynasties, profound philosophical traditions like Confucianism, and inventions such as paper and gunpowder. Today, it is a vast modern nation-state officially known as the People’s Republic of China, blending its ancient heritage with rapid technological and economic development. Key cultural sites, like the Great Wall and the Forbidden City, stand as enduring symbols of its imperial past and cultural depth.

Two Countries, Two Parks

“Two Countries, Two Parks” refers to the Waterton-Glacier International Peace Park, created in 1932 by uniting Waterton Lakes National Park in Canada and Glacier National Park in the United States. It was the world’s first International Peace Park, established to celebrate peace and cooperation between the two nations and to jointly protect the region’s exceptional natural beauty and ecosystems.

Indonesia-China Cooperation Mechanism

The Indonesia-China Cooperation Mechanism is a bilateral framework established to enhance strategic partnership and practical collaboration between the two nations across areas like trade, infrastructure, and cultural exchange. Historically, it builds upon longstanding diplomatic ties, significantly deepening after the signing of a strategic partnership agreement in 2005, with high-level dialogues driving major projects such as the Jakarta-Bandung High-Speed Railway. It serves as a key platform for aligning Indonesia’s development goals with China’s Belt and Road Initiative.

Indonesian President

The “Indonesian President” is not a specific place or cultural site, but the title of the head of state and government of the Republic of Indonesia. The office was established upon Indonesia’s declaration of independence in 1945, with Sukarno serving as the first president. The role has evolved through different political eras, from guided democracy to the current presidential system, and is central to the nation’s modern history and governance.

Premier of the State Council of China

The Premier of the State Council of the People’s Republic of China is not a physical place or cultural site, but a key governmental position. The role, established with the founding of the PRC in 1949, is the head of government and leads the State Council, which is the chief administrative authority. The Premier is responsible for overseeing the day-to-day operations of the government and implementing national policies.

Indonesian Foreign Minister

The “Indonesian Foreign Minister” is not a place or cultural site, but a high-ranking government position. The officeholder leads the Ministry of Foreign Affairs, which was established shortly after Indonesia’s proclamation of independence in 1945 to manage the nation’s international relations and diplomacy.

Chinese Minister of Commerce

The “Chinese Minister of Commerce” is not a place or cultural site, but a senior government position. The role heads the Ministry of Commerce (MOFCOM), which was formed in 2003 to oversee China’s domestic and international trade, foreign investment, and economic cooperation. Historically, its functions evolved from earlier trade and economic commissions established after the founding of the People’s Republic of China.