LiuGong has officially commenced the construction of the Indonesia Green Smart Industrial Park at the Karawang Artha Industrial Hill (KAIH) Industrial Estate in West Java, Indonesia. The groundbreaking ceremony was attended by Zheng Jin, Chairman of Guangxi LiuGong Group Co., Ltd. and Guangxi LiuGong Machinery Co., Ltd.; Luo Guobing, Vice Chairman and President of Guangxi LiuGong Machinery Co., Ltd.; Yuan Shiguo, Xiao Xiaolei, and Deng Tao, Vice Presidents of Guangxi LiuGong Machinery Co., Ltd.; Levi Lin, President Director of LiuGong Machinery Indonesia; Li Yuedong, Vice President Director of LiuGong Machinery Indonesia; and Zhao Lei, President Director of LiuGong Finance Indonesia. Representatives from several Indonesian ministries and regional governments also attended the event, demonstrating their support for the strategic investment.
Among the distinguished guests were Djauhari Oratmangun, Indonesian Ambassador to China and Mongolia; Dedi Mulyadi, Governor of West Java; Setia Diarta, Director General of Metal, Machinery, Transportation Equipment, and Electronics Industries (ILMATE) at the Ministry of Industry; Edy Junaedi, Deputy for Investment Implementation Control at the Ministry of Investment and Downstream Industries; Aep Syaepuloh, Regent of Karawang; Anindya Novyan Bakrie, Chairman of the Indonesian Chamber of Commerce and Industry (KADIN); and Hang Yajuan, representing the China Chamber of Commerce in Indonesia.
The presence of these government officials and industry leaders reflects the Indonesian government's strong commitment to strategic investments aimed at strengthening the competitiveness of the country's manufacturing sector.
The industrial park is scheduled to begin operations in the first half of 2027 and will become Indonesia's first manufacturing facility dedicated to the production of electric heavy equipment. The plant will strengthen Indonesia's position as LiuGong's manufacturing hub for the Asia-Pacific region while gradually supplying products to North American and European markets.
The project is also expected to increase the use of locally sourced components, strengthen supply chain collaboration, and develop industrial talent in support of Indonesia's downstream industrialization strategy and the acceleration of the country's heavy equipment ecosystem.
Zheng Jin, Chairman of Guangxi LiuGong Group Co., Ltd. and Guangxi LiuGong Machinery Co., Ltd., stated that the Indonesia Green Smart Industrial Park demonstrates LiuGong's long-term commitment to the Indonesian market.
"The Indonesia Green Smart Industrial Park reflects LiuGong's long-term commitment to the Indonesian market. We will continue to deepen our partnerships in Indonesia and across ASEAN, drive innovation through open collaboration, and work closely with industry partners to support sustainable industrial development and the region's green transformation," Zheng said.
The project will be developed in three phases. During the first phase, LiuGong will establish production lines for electric excavators and electric wheel loaders with a planned annual production capacity of 5,000 units. The facility will adopt advanced smart manufacturing technologies, including Automated Guided Vehicles (AGVs), Rail Guided Vehicles (RGVs), and a Manufacturing Execution System (MES), to digitalize production processes and improve operational efficiency.
Luo Guobing, Vice Chairman and President of Guangxi LiuGong Machinery Co., Ltd., said the Indonesia Green Smart Industrial Park will serve not only as a manufacturing facility but also as a green and intelligent industrial platform integrating manufacturing, research and development, talent development, and industrial collaboration.
"LiuGong will establish the Indonesia Product Application Research and Development (R&D) Center and collaborate with Universitas Gadjah Mada to promote technology transfer and develop local talent. We hope this initiative will provide new momentum for the sustainable development of Indonesia's heavy equipment industry," Luo said.
As part of its localization strategy, LiuGong continues to strengthen human resource development in Indonesia. Since joining the China–Indonesia School Cooperation Program in 2023, the company has trained more than 900 students. Currently, 30 students from the latest cohort are undergoing professional training at LiuGong's headquarters in China. Upon completing the program, they will continue with practical training at LiuGong's manufacturing facilities in Indonesia.
Indonesia's Vice Minister of Investment and Downstream Industries praised LiuGong's commitment to talent development and the implementation of its localization strategy. According to the Vice Minister, these efforts are aligned with Indonesia's industrial development priorities and will strengthen the country's manufacturing capabilities.
The construction of the Indonesia Green Smart Industrial Park marks an important milestone in LiuGong's global manufacturing strategy. Going forward, the company plans to further deepen its localization strategy, enhance its global manufacturing capabilities, and strengthen the global value chain for electric heavy equipment.
The project also represents a significant step toward the development of an integrated electric vehicle ecosystem within the Karawang Artha Industrial Hill (KAIH) Industrial Estate. The establishment of PT LiuGong Machinery Manufacturing Indonesia further reinforces KAIH's position as a strategic industrial hub supporting the electric vehicle supply chain while encouraging investment and accelerating the growth of Indonesia's electric vehicle industry.