Sabtu, 24 Juni 2023

Securing US Investment Worthy of US$500 Million, Minister of Investment Underlined Indonesia’s Focus is Not Only on Certain Country’s Investments

Washington DC, 24 June 2023 – On the first day of his working visit to the United States, Minister of Investment/Chairman of Indonesia Investment Coordinating Board (BKPM) Bahlil Lahadalia witnessed the signing of the Pre-Cooperation Agreement between SEG Solar Inc. along with ATW Group (Indonesian partner) and Batang Integrated Industrial Estate (Kawasan Industri Terpadu Batang/KITB) yesterday afternoon local time (23/6) at the Indonesian Embassy for the United States of America (USA) in Washington, DC, USA. KITB President Director Ngurah Wirawan, SEG Solar Inc CEO Jim Wood, ATW Group Founder Antonius Weno, and ATW Group Director Victor Samuel signed an agreement related to areas in KITB for SEG Solar's planned investment with ATW Group worth US$500 million in the green energy sector, specifically the solar panels and solar modules manufacturing industry. Also present to witness this signing was the Ambassador Extraordinary Plenipotentiary of the Republic of Indonesia to the USA Rosan Perkasa Roeslani.

The Minister of Investment stated that the signing of this cooperation was an effort from the Indonesian Government to spur energy transition and also an initial process in order to encourage openness between Indonesia and the United States Government, especially with the Inflation Reduction Act (IRA) which can affect companies' interest in investing in Indonesia and to the global electric vehicle ecosystem.

"We come to America as a form of the Indonesian Government's presence to convince American investors to invest in Indonesia. Moreover, the products are not only exported to America but also to other countries. There should be no more perception as if we only focus on certain country’s investment," said Bahlil.

Bahlil also added that the implementation of this collaboration resulted from good collaboration and full support from related parties, notably the Indonesian Embassy in Washington, DC, USA.

Addressing this initiative, the Ambassador Extraordinary Plenipotentiary of the Republic of Indonesia for the United States of America Rosan Perkasa Roeslani conveyed his appreciation for the presence and support of the Minister of Investment and his officials in witnessing the signing of this agreement. According to Rosan, through extraordinary efforts, including meetings with various stakeholders, one solid investment agreement can be produced. Moreover, the US Government provides incentives for companies who invest in partner countries (friend-shoring). This agreement will also reinforce the partnership between the Government of Indonesia and the Government of the United States of America.

"This soon-realized cooperation, God willing, will not only contribute to economic growth but also support the energy transition and jobs creation," added Rosan.

SEG Solar through its joint venture company with ATW Group from Indonesia will build a solar panel and solar module manufacturing facility with a capacity of up to 5 Giga Watt (GW) and a planned total investment value of up to US$500 million. It will create jobs for around 2,000 Indonesian workers.

The United States is ranked 6th as the country with the largest realized investment in Indonesia with a total investment of USD 9.4 billion from 2018 to the first quarter of 2023. US’ investment sector with the largest realization is Mining; followed by Other Services; Electricity, Gas and Water; Chemical and Pharmaceutical Industry; and Food Industry. There are 5,683 projects that succeeded in absorbing 82,299 workers from US investment realization. (*)

For further information, please contact:

Ricky Kusmayadi

Head of Communication and Information Services Bureau

Ministry of Investment/BKPM

E-mail: rickykusmayadi@bkpm.go.id