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๐Ÿ‡ฎ๐Ÿ‡ฉ Indonesia /Economy & Trade

Indonesia's Customs Authority Boosts Job Creation Through Bonded Zone Facility

From Republika · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News Official statement New plan
  • Indonesia's customs authority granted bonded zone facility to PT Golden Victory Manufacturies, a footwear company in Pemalang.
  • The facility aims to boost foreign investment, enhance export competitiveness, and create jobs, with the company projected to hire over 9,000 workers by 2030.
  • The company's investment is expected to reach Rp 420 billion by 2030, signaling confidence in Indonesia's investment climate.

Indonesia's customs authority has approved a bonded zone facility for PT Golden Victory Manufacturies, a footwear manufacturer located in Pemalang, Central Java. This government support aims to attract foreign investment, improve the competitiveness of export-oriented industries, and strengthen the manufacturing sector's contribution to national economic growth.

The bonded zone facility is expected to have a significant impact on job creation. The company, operating on a 25-hectare site, anticipates hiring 3,035 Indonesian workers in 2026. This number is projected to nearly triple to 9,038 by 2030 as production capacity increases. This expansion signifies not only a rise in output but also the creation of thousands of new employment opportunities, benefiting the economy of Pemalang and surrounding areas.

Investment in the company is also on the rise. PT Golden Victory Manufacturies recorded an investment of Rp 396 billion in 2026, with projections reaching Rp 420 billion by 2030. This growth indicates strong business confidence in Indonesia's conducive investment climate and reinforces the company's commitment to sustainable business expansion.

The bonded zone facility provides companies with customs and tax advantages, including deferred import duties and other fiscal incentives on raw materials used for export goods. These benefits are designed to reduce production costs, enhance the global competitiveness of Indonesian footwear, and boost national export value. Agus Yulianto, Head of the Customs and Excise Office for Central Java and Yogyakarta, emphasized that these facilities support industrial growth and create broader economic benefits for the community, evidenced by the significant job creation at PT Golden Victory Manufacturies.

With the increase in companies receiving Bonded Zone facilities, we hope that more investment will enter Central Java, the production capacity of national industry will increase, and most importantly, more jobs will be created for the community. The projected absorption of labor reaching more than 9,000 people at PT Golden Victory Manufacturies is proof that customs facilities can have a direct impact on community welfare.

โ€” Agus YuliantoHead of the Customs and Excise Office for Central Java and Yogyakarta, highlighting the economic benefits of bonded zone facilities, particularly job creation.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.