Indonesia Courts German Investment in Key Sectors

Indonesian President Prabowo Subianto has extended a strong invitation to Germany for expanded investment across key sectors of the Indonesian economy. During a meeting with German President Frank-Walter Steinmeier in Jakarta, Prabowo emphasized Indonesia's readiness to welcome German businesses and government support.

President Prabowo specifically pointed to several strategic areas ripe for German investment. These include the burgeoning fields of energy transition, the development of downstream industries, the rapidly growing electric vehicle market, and the crucial semiconductor industry. He also encouraged German participation in Indonesia's mining sector, particularly in the supply chains for critical minerals and rare earth elements, as well as in infrastructure development projects.

German President Steinmeier responded positively, highlighting the significant investment opportunities presented by the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA), which is nearing finalization. He noted that the agreement would provide a greater avenue for small and medium-sized German companies to invest in Indonesia, fostering a mutually beneficial relationship.

Steinmeier also acknowledged the established presence of major German companies like Siemens, Daimler, and Infineon in Indonesia, viewing their long-term operations as a testament to Indonesia's attractiveness as both a market and an investment destination. He indicated that his delegation included representatives from companies exploring new pathways in renewable energy, signaling a shared focus on sustainable development.

The visit underscored Germany's commitment to strengthening its partnership with developing nations like Indonesia. German Ambassador to Indonesia Ralf Beste stated that President Steinmeier's visit signals Germany's role as a strong and reliable partner, aiming to bolster cooperation with strategically important countries.

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Indonesia also invites Germany to expand their investments in strategic sectors in Indonesia.