Indonesia's version of the Shenzhen Plan launched with a 16 trillion dollar capital injection to start 27 enterprises to move in

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On March 20, 2025, Indonesian President Prabowo visited the Batang Industrial Zone in the Central Java Industrial Belt, crowning this rising industrial star as a "national special economic zone", and benchmarking it against the "Indonesian version of Shenzhen", vowing to build a model for the integration of 300 million nationals into the global industrial chain. Batang Industrial Zone is a model for the integration of 300 million nationals into the global industrial chain.With the Fujian Provincial Government announcing the injection of Rp 16 trillion (about RMB 7.2 billion) in strategic investment, the golden era of Sino-Indonesian "two parks" cooperation has officially begun, opening a window of opportunity for Chinese investors to lay out their business in Southeast Asia.

Since the signing of the Memorandum of Understanding between the two countries in 2021, Batang Industrial Zone has been the flagship park of the Indonesian side, and the approval of the Overall Program of China-Indonesia Economic and Trade Innovation and Development Demonstration Park by the State Council of the People's Republic of China in 2023 has included it in the construction of the "One Belt, One Road" Hai Silk Core Zone. From President Joko's personal supervision to President Prabowo's granting of the status of special zone, this hot land is being promoted by the east wind of the policy to promote the development of the spring tide.

The golden policy package is coming strong! Enterprises can enjoy 11 preferential policies such as full exemption of income tax for 10-20 years, tariff exemption for imported equipment, etc. The Indonesian government's ambitious five-year plan - attracting 34 billion RMB investment and creating 58,000 jobs - focuses on the manufacturing and logistics sectors. What's more remarkable is the strategic synergy with China Fuzhou Yuanhong Investment Zone, where Rp 16 trillion direct investment has been landed, which is the bright crystallization of the consensus between the heads of state of China and Indonesia.

Sitting at the geographic center of Java's three industrial zones, Batang's 4,300-hectare industrial landscape is rewriting the manufacturing landscape in Southeast Asia. Connected to the Javan high-end manufacturing corridor in the east and the East Java Heavy Industry Cluster in the west, this emerging light industry base has received nearly Rp 4 trillion in infrastructure investment from the government. Currently, 27 companies have moved in, attracting investments of Rp 179.5 trillion and creating 7,000 jobs. President Prabowo even benchmarked it as "Indonesia's version of Shenzhen", vowing to create a model for 300 million nationals to integrate into the global industrial chain.

A triple strategic opportunity for Chinese investors:

1. Policy Gravitational Field: full-cycle tax incentives significantly reduce operating costs, preferred by export-oriented enterprises for settlement

2. Regional Radiation Network: Relying on the Trans-Javanese Transportation Artery to realize the linked development of the three major industrial zones

3. Value chain leap: building a core node in the regional supply chain and driving a wave of industrial upgrading

Since December 2023, when the foundation stone was laid, the Vanzant Industrial Park, the core engine of the Special Administrative Region, has pressed the fast-forward button for development. This "Belt and Road" benchmark project has already realized the first phase of land development, with the 98-hectare start-up area and the 200-hectare first phase forming a gradient layout. From policy matching to green park construction, and from employment promotion to industry chain integration, this place is reconstructing a new paradigm of Chinese manufacturing going overseas with "one-stop" services.

The Southeast Asian market is surging, and the Central Java industry is surging. Batang Special Economic Zone is like a bright pearl embedded in the equator line, with policy dividends, location advantages and industrial potential, waiting for the visionary to draw the development of ambitions. The team of Mr. Wang, who has been deeply plowing in Indonesia for 20 years, is willing to help Chinese manufacturing sail away with practical experience, and write a new legend in this hot spot of investment.

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