This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Investor Daily - Jokowi ajak China bangun moda transportasi di IKN
19 April 2024
By Imam Suhartadi
Jakarta, ID – President Joko Widodo (Jokowi) is encouraging China to participate in the construction of transportation modes in Nusantara Capital City (IKN) in East Kalimantan. The invitation was delivered by the President when he received the visit of Chinese Foreign Affairs Minister Wang Yi at the Presidential Palace in Jakarta on Thursday (18/4/2024).
“The President is encouraging cooperation on the development of IKN, especially on modes of transportation,” Indonesian Foreign Affairs Minister Retno Marsudi said when she accompanied Jokowi at the meeting with Wang Yi.
Besides that, Jokowi also discussed the continuity of the Jakarta-Bandung high-speed railway project and encouraged a transfer of technology from China to Indonesia. “The feasibility study needs to be expedited to extend the route [of the high-speed railway] to Surabaya,” Retno said.
The Indonesian government is programming the construction of the Jakarta-Bandung high-speed railway to Surabaya through Yogyakarta. Through the cooperation with China, the Jakarta-Bandung high-speed railway project has been set as a national strategic project (PSN) with Presidential Regulation No.3/2016 on National Strategic Project Acceleration.
Furthermore, President Jokowi is also encouraging China to realise its investment in the petrochemical industry in North Kalimantan. Jokowi and Wang Yi also discussed a cooperation on sustaining food security in both countries.
“Food security is crucial. Hence, agricultural cooperation between both countries is important, especially on rice, horticulture, and durian. One of the cooperation forms can involve learning about China’s agricultural modelling,” Retno said.
President Jokowi affirmed the importance of Indonesia-China collaboration to improve their mutually beneficial economic cooperation by enhancing and balancing the bilateral trade volume.
“The President is also expecting to open market access for Indonesian products to China and to resolve the protocol for importing agricultural and fisheries products from Indonesia,” Retno said.
According to him, a more detailed economic cooperation discussion will be held at the Indonesia-China High-level dialogue Cooperation Mechanism (HDCM) in Labuan Bajo in East Nusa Tenggara on Friday (19/4/2024).
Indonesia will be represented by Coordinating Minister for Maritime and Investment Affairs Luhut Binsar Pandjaitan and Foreign Affairs Minister Retno Marsudi, while China will be represented by Foreign Affairs Minister Wang Yi.
With a trade volume of more than US$127 billion (around Rp2,055 trillion), China is Indonesia’s largest trade partner. China is the largest foreign investor in Indonesia with an investment value of more than US$7.4 billion (Rp119.7 trillion) last year.
Online fraud
Besides economic cooperation, Retno stated that cooperation with China was crucial to address international crime, especially online frauds with victims from Indonesia. He encourages cooperation with China to prevent such crimes.
Indonesia is the first stop of Wang Yi’s series of international visits from 18 April to 23 April 2024. After Indonesia, the Chinese diplomat will visit Cambodia and Papua New Guinea.
Meanwhile, Wang Yi is inviting Indonesia to strengthen their bilateral relationship to realise the dreams of both countries in China’s development vision and the 2045 Golden Indonesia vision.
“We expect both countries to continue their good relationship to help each other to realise quality development in China and Indonesia to bring about a bright future,” Wang said in his press statement with Indonesian Foreign Affairs Minister Retno Marsudi in Jakarta on Thursday (18/4/2024).
Fair and equal
As developing countries, according to him, cooperation between China and Indonesia will realise global development that is fairer and more equal.
The Chinese Foreign Affairs Minister also highlighted China’s cooperation in various sectors in Indonesia over the last decade. “Therefore, both countries can offer more options to developing countries to show their partiality, realise continuous cooperation, and strengthen collaboration in the digital economy sector and other sectors,” Wang said.
Besides digital economy, he said that cooperation in the sustainable development sector and economic transformation would also be implemented. As neighbouring major countries, he affirmed that China and Indonesia must promote trust and a desire to help one another and other countries.
Wang is also encouraging economic cooperation that is more open, inclusive, and beneficial for all parties, and opposes any party that hinders economic cooperation with its unilateral action.
Besides that, Wang also congratulated the success of the elections in Indonesia and praised the leadership of President Joko Widodo that lasted for almost 10 years that made Indonesia more advanced and developed.
Previously, Chinese Foreign Affairs Ministry Spokesperson Lin Jian mentioned that Chinese Foreign Affairs Minister Wang Yi’s visit to Indonesia was meant to tighten cooperation in the Belt and Road Initiative.
“Through this visit, China hopes to achieve mutual understanding among President Xi Jinping and the leaders of the three countries implementing high-quality cooperation in the Belt and Road [Initiative] to achieve more substantive advancement in China-Indonesia development,” Lin Jian said in Beijing in China on Tuesday (16/4/2024).
Foreign Affairs Minister Wang Yu will conduct official visits to three countries, namely Indonesia, Cambodia, and Papua New Guinea from 18 to 23 April 2024.
