Meeting with President Prabowo, FKI Delegation Pledges to Strengthen Ties with Indonesia

Jakarta: President Prabowo Subianto received a courtesy call from Lotte Group Chairman Shin Dong-bin, along with a delegation from the Federation of Korean Industries (FKI) at the Merdeka Palace, Jakarta, on Monday, April 28, 2025. The meeting yielded positive results with additional investment commitments from a number of South Korean companies in various strategic sectors in Indonesia.

Coordinating Minister for Economic Affairs Airlangga Hartarto explained that the meeting was attended by 19 Korean entrepreneurs, 18 of whom already have active investments in Indonesia. The total investment that has been realized by the 19 company groups has reached almost USD15.4 billion, with an additional investment plan of USD1.7 billion.

"The first is related to the visit of the Korean delegation, there were around 19 Korean businessmen present, most of whom, 18, have invested in Indonesia. The total investment made by the 19 companies is almost USD15.4 billion. And in addition to that, they will have an additional plan of USD1.7 billion," said Airlangga in a press statement to the media crew after the meeting, as quoted from BPMI Setpres.

One of the main highlights is the Lotte Chemicals project which is scheduled to be inaugurated in September-October 2025. The company offered Indonesia's participation in the development of the large petrochemical plant, and President Prabowo has agreed in principle to Indonesia's involvement.

"And Danantara was given the task to conduct a study and follow up on the investment," said Airlangga.

In addition to Lotte Chemicals, a number of other large Korean companies also reported on the development of their investments in Indonesia. KB Financial reported on the condition of PT Bank Bukopin Tbk which has now recorded a profit after four years of management. Hyundai Motor also said that their operations are running well, while POSCO confirmed that cooperation with Krakatau Steel is entering the second phase with a production target of up to 10 million tons of steel.

Airlangga also mentioned EcoPro's investment in Morowali worth almost USD500 million for the production of cathode precursors and nickel smelters. KCC Glass, which has invested in the Batang Industrial Area, also plans to expand, with the hope of competitive natural gas price support.

"KCC Glass also reported to the President that it will expand with a request that domestic gas prices be at certain natural gas prices that have been discussed with the President," said Airlangga.

Other companies such as LX International are committed to continuing investments in the coal, nickel, and plantation sectors of up to half a billion USD. Meanwhile, the defense sector is also strengthened through companies that produce ammunition, as well as the SK Group which is currently building a Plasma Convalescent factory in Cikarang to meet domestic medical needs.

The South Korean delegation also expressed appreciation for the openness of the Indonesian government in listening to the aspirations and business plans of investors. "They appreciated the meeting with the President which was conducted openly. And the President listened one by one. And that is what made them really appreciate the government's openness," said Airlangga.

This meeting is proof of the strong commitment between Indonesia and South Korea in strengthening economic and investment cooperation. It is hoped that this additional investment will encourage national economic growth, open up new jobs, and accelerate industrial transformation in various strategic sectors.

Also present accompanying President Prabowo at the meeting were Vice President Gibran Rakabuming, Coordinating Minister for Economic Affairs Airlangga Hartarto, Minister of Investment and Downstream/Head of BKPM Rosan Roeslani, Minister of State Secretary Prasetyo Hadi, and Cabinet Secretary Teddy Indra Wijaya.