A recent survey by the Indonesian Survey Institute (Lembaga Survei Indonesia / LSI) shows that the majority of the public holds a positive view of the West Java Provincial Government’s performance across various sectors. However, economic observers and business players argue that this outcome does not align with the reality of widespread layoffs and millions of residents trapped in poverty. LSI announced its survey findings on Thursday (July 23, 2026). The survey was conducted from July 2–9, 2026, involving 800 respondents living in West Java. Respondents were at least 17 years old or married at the time of the survey. They were selected using a multistage random sampling method across 27 regencies and cities in West Java. With this sample size, the survey carries a margin of error of approximately ±3.5% at a 95% confidence level. Data collection was conducted through face-to-face interviews by trained interviewers. The survey findings show that the public evaluated the West Java Provincial Government’s performance positively across multiple sectors. Satisfaction levels exceeded 50% in all surveyed aspects, including infrastructure and basic services. Meanwhile, the economic sector received the lowest satisfaction score, although it was still generally appreciated. The majority of respondents rated West Java's economic condition in the moderate category at 44.3%. Meanwhile, 27% of residents rated the economy as good, and 28.3% rated it as poor. Regarding public administration, the West Java Provincial Government received positive scores. 60.2% of respondents rated governance performance as good to very good, 30.4% rated it as moderate, and 8.1% rated it as poor to very poor. The survey also revealed that 95.4% of respondents were satisfied with the performance of West Java Governor Dedi Mulyadi. In contrast, the satisfaction rate for Vice Governor Erwan Setiawan trailed significantly behind Dedi at 59.1%. Disconnect from Field RealitiesAcademic and economic observer from Pasundan University Bandung, Acuviarta Kartabi, stated on Friday (July 24, 2026) that the high level of public satisfaction with the provincial government and governor represents an anomaly when compared to conditions on the ground. According to him, high unemployment rates, poverty issues, widespread layoffs, and weak public purchasing power do not reflect significant economic recovery. Data from the West Java Central Statistics Agency (BPS) indicates that 1.77 million people in the province were still unemployed as of November 2025. Meanwhile, the poverty rate in West Java stood at 6.78%, or approximately 3.55 million people. Throughout 2025, Ministry of Manpower data recorded 18,815 workers laid off in West Java. From January to May 2026 alone, another 5,044 workers faced layoffs in the province. "The survey results should be viewed as an indicator of public perception rather than a complete picture of real conditions. Therefore, these findings need to be cross-checked with objective data such as poverty figures, job creation, and the effectiveness of inflation control programs," he explained. Chairman of the Indonesian Hotel and Restaurant Association (PHRI) West Java, Dodi Ahmad Sofiandi, revealed that West Java's hospitality sector continues to face challenging conditions. Hotel occupancy rates, for instance, remain stagnant and even tend to decline. He noted that ceremonial local government events and long holiday periods amidst the current economic climate have been unable to push hotel occupancy up to 70%. Currently, there are 550 registered members of PHRI West Java, covering both restaurants and hotels. "The number of our members has dropped drastically from 1,495 down to just 550. Occupancy rates for budget hotels (hotel melati) stand at only 25%, while star-rated hotels reach a maximum of 60%," Dodi revealed. Personality FactorExecutive Director of LSI, Djayadi Hanan, explained that high public satisfaction with the West Java Governor is driven not only by performance evaluations of the government, but also by Dedi Mulyadi’s personality as a regional leader. According to him, three main factors shape positive public perception. First, the majority of residents view economic conditions as moderate or fair. Second, the administration of the West Java Provincial Government is rated positively by most respondents. Third, the public favorably evaluates various government programs and services, ranging from infrastructure, education, and health to cooperative empowerment. "As a recommendation, the government needs to step up by introducing targeted programs for those feeling the economic strain the most, specifically the middle and lower-income classes," he concluded. [Source]
Jul, 27 2026
Cianjur (ANTARA) – The Investment and One-Stop Integrated Services Agency (DPMPTSP) of Cianjur Regency, West Java, recorded positive performance, with realized investment in the first semester of 2026 reaching 35 percent or IDR 1.33 trillion of the IDR 3.78 trillion target. Superi Faizal, Head of the Cianjur Investment and One-Stop Integrated Services Agency (DPMPTSP), stated in Cianjur on Sunday that, based on Investment Activity Reports (LKPM), the manufacturing sector was the largest contributor to investment throughout 2026. A total of 204 business entities reported investments in the manufacturing sector amounting to Rp1.08 trillion and creating 1,674 jobs, while the financial services and insurance sector recorded investments of Rp60.2 billion across 41 investment activity reports (LKPM), absorbing 40 workers. "The mining and quarrying sector contributed investments totaling Rp54.9 billion across 52 Investment Activity Report (LKPM) submissions, creating 38 jobs," he said. Meanwhile, the agriculture, forestry, and fisheries sector recorded investments totaling Rp44.075 billion, involving a workforce of 237, while the real estate or housing sector registered investments of Rp32.63 billion based on 152 LKPM reports. They continue to urge business operators to diligently submit LKPM reports via the system provided by the government, as these reports serve as the basis for monitoring business developments in Cianjur Regency. They will even provide assistance to business operators who encounter difficulties or do not yet understand the LKPM reporting procedures, as every submitted report is crucial for understanding the actual situation of business operators in Cianjur Regency. "Reported realization for the first semester has reached Rp1.33 trillion or approximately 35 percent with a total workforce absorption of 2,921 people," he said. He explained that the investment target for 2026, set at IDR 3.78 trillion, remains dominated by Foreign Direct Investment (FDI) with a target of IDR 2.09 trillion or approximately 82 percent of the total investment composition complemented by Domestic Direct Investment (DDI) of IDR 240 billion, or 18 percent. [Source]
Jul, 27 2026
Cirebon (ANTARA) – The Investment and One-Stop Integrated Services Agency (DPMPTSP) of Cirebon City, West Java, is mapping local economy-based investment potential in the Kasepuhan and Argasunya urban villages as part of efforts to strengthen the investment climate and drive regional economic growth. Uni Wahyuni, Head of the Investment Climate Development Division at the Cirebon City DPMPTSP, stated that the mapping was conducted through field inspections and coordination with local authorities to identify business potentials that could be developed into investment opportunities. "This step is being taken to gain a more comprehensive picture of the potential, needs, and business development opportunities in each region, serving as a basis for formulating investment development strategies," he said in a statement in Cirebon on Sunday. He explained that one of the locations targeted for mapping is Kasepuhan Urban Village, which holds creative economy potential in the batik and craft sectors rooted in local wisdom. Based on the site visit, DPMPTSP visited the Batik Tulis Wijaya Kusuma business and the Godong Djati Batik and Handicraft Association. "The batik and handicraft sectors in this region hold both economic and cultural value, making them worthy of support through the enhancement of production capacity, marketing, partnerships, and access to investment," he said. In addition to Kasepuhan, the team conducted a working visit to Argasunya Urban Village to explore resource potential, local economic activities, and business development opportunities that could be offered to investors. “During the activity, we held discussions with the Argasunya Urban Village administration to identify sectors considered to have prospects for productive and sustainable development,” he said. According to him, developing investments based on local potential requires collaboration among local governments, regional authorities, business players, communities, and prospective investors to ensure broader benefits for the public. "DPMPTSP continues to strengthen collaboration with all stakeholders so that local economic potential can develop into investment opportunities capable of creating jobs and improving community welfare," he said. Previously, Cirebon City Regional Secretary Iing Daiman stated that Cirebon City recorded 14,892 investors submitting investment plans with a total value of approximately IDR 3.23 trillion, based on data from the Online Single Submission Risk-Based Approach (OSS RBA) system during the January–June 2026 period. He stated that this achievement demonstrates that Cirebon City remains attractive to investors, despite its limited land area and population size. “Therefore, the local government continues its efforts to optimize existing potential and open up new investment opportunities,” he said. [Source]
Jul, 27 2026
Bisnis.com, BANDUNG – A survey conducted by the Indonesian Survey Institute (LSI) shows that the majority of the public believes the West Java Provincial Government is performing well. However, perceptions of the economic condition have not fully matched this positive trend, as most residents still view West Java’s economy to be at a moderate level. The LSI survey, conducted from July 2–9, 2026, recorded that 60.2% of respondents rated the performance of the West Java Provincial Government as good to very good. A total of 30.4% rated it as moderate, while only 8.1% described it as poor to very poor. On the other hand, public perception regarding West Java’s economic performance remains more moderate. Around 44.3% of respondents rated the economic condition in the moderate category. Meanwhile, 27% said the economy was in good to very good condition, and 28.3% assessed it as poor to very poor. LSI noted that the majority of people across various demographic groups gave a positive assessment of the West Java government’s governance. Conversely, perceptions of the economic situation tended to be more varied, particularly among low-income groups, who were more likely to offer negative assessments. In evaluating the performance of the West Java Provincial Government, the public also expressed positive views across almost all public service sectors. The highest levels of satisfaction were given to infrastructure development, telecommunication network availability, electricity supply, healthcare services, and improvements in education quality. Most governance aspects recorded satisfaction levels above 50%. Nonetheless, the economic sector remains a major task for the government. Aspects such as poverty alleviation, labor quality enhancement, ease of capital access, cooperative development, and small business support received relatively lower satisfaction ratings compared to infrastructure and basic services, although the majority of respondents still reported being satisfied. Reacting to the survey results, a Lecturer of Government Studies at Padjadjaran University (Unpad), Dr. Antik Bintari, praised the survey conducted by LSI, noting that it serves as valuable evaluation material for the West Java Provincial Government in setting policy priorities. According to her, the survey not only measures public satisfaction levels but also captures various issues that still require local government attention. "This survey shows how the public responds to and appreciates the performance of the governor and deputy governor pair currently running the governance. The results are expected to serve as input so that regional leaders and the bureaucracy can collaborate to realize Jawa Barat Istimewa (Exceptional West Java)," she said during the release of the Public Evaluation Survey Findings on West Java Provincial Government Performance in Bandung, Thursday (July 24, 2026). She stated that the success of various government programs must also be supported by budget alignment and harmonious relationships between the West Java Provincial Government and city/regency governments. Antik also noted several issues that she believes have not yet become top priorities, one of which is gender inequality. According to her, this issue is closely tied to various other challenges, such as women's empowerment, child protection, stunting prevention, and human trafficking. "The issue of gender inequality must be prioritized because it affects the success of other programs. Handling it cannot be the sole responsibility of the Women's Empowerment Office; it requires the involvement of all regional government agencies," she asserted. She further appreciated West Java Governor Dedi Mulyadi’s approach to continuing several programs from the previous administration while refining them according to current needs. In her view, maintaining good programs yields a positive impact because local implementers are already familiar with the execution mechanisms. "This is an added value. Good programs are retained, ensuring their continuity. A leader must also be able to select which policies are worth continuing for the benefit of the public," she stated. Regarding economic challenges, particularly unemployment, Antik noted that job creation cannot be placed entirely on the shoulders of local government. She encouraged the West Java Provincial Government to strengthen collaboration with various stakeholders, including regency/city governments, the business sector, universities, and the regional parliament (DPRD) through budgetary support to enhance job seekers' capacities. "Labor issues require cooperation from all parties. The government needs to expand partnerships with various stakeholders, strengthen synergy with city and regency governments, and ensure budgetary support so that capacity-building for job seekers can run more effectively," she concluded. The survey involved 800 respondents spread across all regencies and cities in West Java using a multistage random sampling method. Face-to-face interviews were conducted with a margin of error of approximately ±3.5% at a 95% confidence level. [Source]
Jul, 24 2026
KARAWANG, KOMPAS.com - West Java Governor Dedi Mulyadi emphasized that thugocracy (premanisme) and any form of pressure on the business world must not be given space, as they can hinder the investment climate in the long run. According to him, a region's success in attracting investors is determined not only by the ease of obtaining permits, but also by legal certainty and security throughout the investment process. Dedi delivered these statements while attending the groundbreaking ceremony for the LiuGong heavy equipment factory in Karawang Regency, West Java, on Wednesday (July 22, 2026). The arrival of new investments in the manufacturing sector is seen as an important momentum for West Java to strengthen its position as one of the national industrial hubs. "Our duty is to safeguard investments, from the licensing process all the way until the industry is established. Subsequently, we must maintain investment security," said Dedi Mulyadi as quoted by Antara. Why Thugocracy Is Considered a Threat to InvestmentAccording to Dedi, one of the challenges that must be anticipated is the emergence of thugocracy practices that exploit the presence of investments for personal or group gain. He assessed that acts of intimidation, coercion, and demands for concessions from investors will only create business uncertainty. If left unchecked, the impact will not only be felt by a single company, but could also affect the interest of other investors looking to invest in West Java."There can be no bargaining with individuals or groups that use pressure tactics merely to obtain concessions. This is what we call thugocracy (premanisme). Why? Because it will become a continuous habit that will undoubtedly cause trouble in the long run," he said.Therefore, Dedi emphasized that the government must be present to ensure that every investment can proceed without pressure from irresponsible parties. Who Is Responsible for Maintaining the Investment Climate?Dedi stated that maintaining a favorable investment climate is not solely the duty of local governments, but also requires synergy with security apparatuses.According to him, the West Java Provincial Government, together with the Indonesian National Armed Forces (TNI) and the Indonesian National Police (Polri), must ensure that all stages of investment—from licensing to industrial operations—run safely and in a conducive manner.He stressed that investors must be provided with legal certainty so they can conduct their business operations without disruption.In addition, the provincial government, alongside the Karawang Regency Government, shares the responsibility of escorting investments from the initial stages until factories are built and fully operational.How Is the West Java Provincial Government Supporting Inbound Investment?In addition to guaranteeing security, the West Java Provincial Government is also striving to enhance investment attractiveness through infrastructure development. One of the main focuses currently underway is addressing traffic congestion around the West Karawang Toll Gate, which serves as the primary access to the industrial area. Dedi considers infrastructure quality to be one of the main indicators evaluated by investors before deploying capital. Good road access, ease of transportation, and well-organized industrial estates will boost West Java's competitiveness compared to other regions.Besides offering convenience to investors, infrastructure development will also directly benefit the public through improved connectivity and economic growth around industrial zones.In addition to building infrastructure, the West Java Provincial Government is also working to enhance human resource quality to meet the needs of an ever-evolving industry.Dedi stated that the provincial government is preparing various training programs for high school and vocational school graduates to equip them with competencies aligned with industry needs. "Moving forward, we must start thinking about becoming entrepreneurs and producers ourselves so that Indonesia's economy grows even stronger," he said.[Source]
Jul, 24 2026
Warta Ekonomi, Bandung – The West Java Chamber of Commerce and Industry (Kadin) is strengthening its collaboration with the West Java High Prosecutor's Office (Kejati) to foster legal certainty for business players and improve the investment climate in the province. This commitment emerged during an audience between the Chairman of the West Java Chamber of Commerce and Industry (Kadin) Almer Faiq Rusydi and his board members with the Head of the West Java High Prosecutor's Office, Sutikno, at the West Java High Prosecutor's Office building on Wednesday (July 22, 2026). During the meeting, both parties agreed to enhance communication and coordination between the business community and law enforcement agencies as part of efforts to foster a healthier business climate and support regional economic growth. West Java Chief Public Prosecutor Sutikno stated that synergy between law enforcement agencies and the business sector is a crucial factor in providing legal certainty to business players. "This synergy serves as a crucial foundation for establishing legal certainty for the business community," he said. He also urged business players in West Java to continue upholding integrity and conducting business operations responsibly, thereby supporting the creation of a healthy and sustainable investment climate. From the business sector's perspective, West Java Kadin Chairman Almer Faiq Rusydi stated that the organization would continue to strengthen its role in supporting regional economic development through various programs to be discussed at the Provincial Leadership Meeting (Rapimprov). According to Almer, the Regional Leadership Meeting (Rapimprov) will serve as a forum to establish the organization's official work program, aimed at strengthening Kadin's contribution to economic and business development in West Java. In addition, the West Java Chamber of Commerce and Industry (Kadin) is currently undertaking organizational consolidation at the regional level. As the terms of office for several regency and city-level Kadin boards are drawing to a close, city and regency conferences are underway to ensure that leadership succession proceeds in accordance with organizational mechanisms. The audience also served as an opportunity to strengthen collaboration between Kadin and the High Prosecutor's Office in carrying out their respective functions, including creating a business environment more conducive to investment. For business players, legal certainty is considered a key factor in driving new investment, expanding business activities, and boosting investor confidence in a region. Meanwhile, more intensive communication between the business community and law enforcement agencies is expected to minimize potential disputes and obstacles in the conduct of business operations. The West Java Chamber of Commerce and Industry (Kadin) hopes that synergy with the High Prosecutor's Office will support the creation of a healthier business ecosystem while accelerating regional economic growth through increased investor confidence and a more conducive business climate. [Source]
Jul, 23 2026
The prospect of restoring direct flights between Bandung and Pontianak has emerged as positive news for residents of West Kalimantan and West Java. If the route is approved, travelers will be able to fly directly between the two cities without the need for a transit stop, potentially enhancing passenger mobility, supporting business activities, and stimulating tourism in both regions. The opportunity follows Super Air Jet's proposal to launch the Bandung–Pontianak route as part of the planned reactivation and optimization of jet operations at Husein Sastranegara International Airport in Bandung. Arie Ahsanurrohim, Corporate Secretary Group Head of InJourney Airports, said that six airlines have so far submitted official applications to operate at Husein Sastranegara Airport. "To date, six airlines have officially submitted applications to operate at the airport," Arie said in a statement on Monday (July 20, 2026). Super Air Jet has proposed eight new routes from Husein Sastranegara Airport, connecting Bandung with Kualanamu, Denpasar, Pekanbaru, Makassar, Batam, Padang, Balikpapan, and Pontianak. If approved, the Bandung–Pontianak service will provide a convenient non-stop travel option between West Java and West Kalimantan, eliminating the need for passengers to transit through other cities. Beyond improving passenger convenience, the reinstated route is expected to support business, education, government activities, and tourism, while strengthening economic ties between the two provinces. InJourney Airports stated that all airline applications will be processed through the airport slot allocation system, taking into account the operational capacity of Husein Sastranegara Airport. According to Arie, the resumption of jet operations at the airport is expected to enhance air connectivity for Bandung and West Java while generating positive impacts on tourism, trade, investment, and regional economic growth. "We hope that improved connectivity at Husein Sastranegara Airport will fully support economic growth and tourism development in West Java, particularly in the City of Bandung," he said. [SOURCE]
Jul, 22 2026
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. [SOURCE]
Jul, 22 2026
Sumedang Regent Dony Ahmad Munir presented the regency's achievements, challenges, and future direction for Smart City development during the ASEAN Smart Cities Network (ASCN) Annual Meeting 2026, held at Rempeg Jagapati Hall, Banyuwangi Regent's Office, on Monday (July 20). Speaking before regional leaders and Smart City stakeholders from across ASEAN, Dony explained that Sumedang has proposed three flagship Smart City development projects. One project has already been completed: reducing the prevalence of stunting through e-Simpati (Integrated Stunting Prevention Information System), a digital platform designed to improve maternal and child health services. According to Dony, e-Simpati has become an integral part of public services for pregnant women, toddlers, and adolescent girls, and has been fully integrated into the local government's administrative practices. "Digitalization is not merely about introducing technology—it is about using technology to solve real problems faced by the community. e-Simpati demonstrates that digital transformation can improve the quality of healthcare services while reducing stunting rates," he said. The two ongoing initiatives are the Jatinangor City of Digital Knowledge and the Village e-Office Super App. In addition, the regional government is preparing the Sumedang Green Smart Industrial Park project in the Butom area, covering the districts of Wado, Cibugel, and Tomo. Regarding the Jatinangor City of Digital Knowledge, Dony highlighted Jatinangor's significant potential as an education and economic hub, given its status as home to six leading higher education institutions and its strategic location adjacent to Bandung City. Several milestones have already been achieved, including the signing of a memorandum of understanding with the Indonesian Telecommunications Providers Association (APJATEL) to improve telecommunications infrastructure, artificial intelligence (AI) training for 1,000 village officials in collaboration with the ASEAN Foundation and Padjadjaran University, the preparation of regulatory frameworks for the proposed Jatinangor Special Economic Zone (SEZ), and the development of a smart village ecosystem. Despite this progress, Dony acknowledged several ongoing challenges, including limited authority at the local government level, restricted market access for micro, small, and medium-sized enterprises (MSMEs), and resistance to change. "Therefore, we are opening opportunities for collaboration with various stakeholders to strengthen supply chains, support MSMEs, accelerate financing, and improve digital literacy among the public," he said. Meanwhile, the Village e-Office Super App is being developed as an integrated digital ecosystem that connects data and public services from the village level to the regional government, enabling faster, simpler, and more integrated public service delivery. One of its flagship initiatives is Desa Cantik (Love Statistics Village), implemented in collaboration with Statistics Indonesia (BPS) and higher education institutions to update community welfare data, ensuring that social assistance is distributed more accurately and effectively. In addition, the Uninhabitable Housing (Rutilahu) program utilizes spatial data to identify eligible beneficiaries, with a target of assisting 5,160 homes. Dony noted that the project still faces challenges, including limited awareness of the importance of data management at the village level and the geographical complexity of providing services to Sumedang's population of approximately 1.2 million people. Looking ahead, the Sumedang Regency Government plans to adopt digital twin technology to support regional planning, infrastructure monitoring, and disaster mitigation. "We recognize that building a Smart City cannot be achieved alone. Collaboration is the key to success. Therefore, we invite all development partners to work together in creating a smarter, more sustainable Sumedang that delivers tangible benefits for the community," Dony concluded. [SOURCE]
Jul, 21 2026
H. Adik LF Solihin, SH, a member of Commission II of the Subang Regency Regional House of Representatives (DPRD) from the Indonesian Democratic Party of Struggle (PDI-P), has urged companies operating in Subang Regency to maximize the potential of the local workforce by increasing the recruitment of local employees. According to Adik, the growing volume of investment flowing into the region should deliver tangible benefits to the community, particularly by creating broader employment opportunities for local residents. "Companies operating in Subang Regency must generate positive impacts for the local community. One of the most important ways is by increasing the recruitment of local workers so that the benefits of investment are truly felt by the people," Adik said, as quoted on Sunday (July 19, 2026). Adik explained that local employment absorption is a key indicator in measuring the success of investment. In addition to creating jobs, he believes it contributes to improving community welfare while helping reduce unemployment in Subang Regency. He added that the local workforce possesses significant potential and capabilities that can continue to be developed to meet the evolving needs of industry. Therefore, companies are encouraged to provide greater opportunities for Subang residents to fill various positions based on their qualifications and competencies. Furthermore, Adik called on companies to strengthen collaboration with the Subang Regency Government through vocational education, workforce training, and skills development programs. He emphasized that such initiatives are essential to improving the competitiveness of local workers in response to the rapidly evolving demands of industry. "If necessary, we in the DPRD will summon investors operating in Subang Regency to assess the extent of their contribution to the local community, particularly in terms of local employment," he said. According to Adik, the Subang Regency DPRD will continue to oversee incoming investments to ensure they not only drive economic growth but also provide direct benefits to local communities by expanding employment opportunities. He added that strong collaboration among the regional government, businesses, and the community is essential to ensuring that the continuous flow of investment into Subang Regency creates sustainable employment, enhances the quality of the local workforce, and promotes broader community prosperity. [SOURCE]
Jul, 21 2026
PT Isuzu Astra Motor Indonesia (IAMI) invested Rp2 trillion to develop its Isuzu Karawang Plant, a manufacturing facility built on a 30-hectare site in Karawang, West Java, as reported by Otomotif on Monday (July 20, 2026). The production facility, which has been in operation since 2015, plays a strategic role as Isuzu's manufacturing hub for commercial vehicles, serving both the domestic market and export destinations. Most of the investment was allocated to the construction of the factory and office buildings, with the largest share dedicated to the installation of the vehicle body painting facility. Rodko Purba, Engineering and Production Director of PT Isuzu Astra Motor Indonesia, provided details regarding the project's investment value and land area. "The plant was actually established in 2013 and officially inaugurated in 2015. It covers an area of 30 hectares, and the initial investment for the land and buildings amounted to approximately Rp2 trillion," Rodko said in Karawang on Monday (July 20, 2026). The development of the painting shop was prioritized as it represents a critical stage in the manufacturing process, ensuring anti-corrosion protection and body painting before vehicles proceed to the assembly line. "Around Rp1 trillion was allocated to the factory buildings and office facilities. Within the factory, the largest investment was made in the painting shop because, in many ways, it is the heart of the plant," Rodko explained. The company has continued to inject additional capital over the years to modernize the facility by upgrading its automated production technology. "That was only the initial investment. Since then, we've continued to invest every year. Back in 2015, our level of automation was still quite limited, but now it has reached 27 percent," he said. The implementation of factory-wide automation has been carried out progressively to keep pace with evolving global manufacturing standards. "Step by step, we increase our level of automation every year, and we continue to invest in those improvements. Going forward, we remain committed to further investment," Rodko added. Today, the Isuzu Karawang Plant assembles a wide range of commercial vehicles, including the Isuzu Traga, Isuzu ELF, Isuzu GIGA, as well as UD Trucks models. [SOURCE]
Jul, 21 2026
Investment opportunities in industrial estates covering 43,000 hectares were presented by the Rebana Metropolitan Management Agency (BP Rebana) to business leaders from Selangor, Malaysia, during the Selangor International Business Summit ASEAN 2026 held in Bandung on Monday (July 20, 2026), as reported by Suara. The agency continues to promote the development of this emerging economic growth hub in West Java to attract regional investors. The Rebana Metropolitan Area comprises seven regencies and one municipality, with a total population approaching 10 million. Of the four industrial estates currently available within the region, the land occupancy rate remains below 10 percent, indicating substantial room for future investment. "My responsibility at Rebana is to promote the region and attract investors. The level of interest has been exceptionally encouraging. The next step is to follow up by simplifying licensing procedures, reducing bureaucracy, and preparing the skilled workforce required by investors," said Helmy Yahya, Chief Executive of BP Rebana. The availability of extensive undeveloped land presents significant opportunities for both foreign and domestic investment. The region is supported by strategic infrastructure, including Kertajati International Airport, Patimban Port, and an integrated toll road network. "This means we still have enormous investment potential. Investors can explore opportunities across a wide range of sectors," he added. West Java recorded US$38.45 billion in export value throughout 2025. The province's population of more than 47 million, including a workforce of approximately 26 million, further strengthens its appeal as a prime investment destination. The strategic partnership received a positive response from the Malaysian delegation, which views Indonesia as an important partner in strengthening ASEAN's regional economy. Potential areas of collaboration include renewable energy, advanced manufacturing, the halal industry, and the digital economy. Meanwhile, Group CEO of Menteri Besar Selangor Incorporated, Mej (K) Dato' Ts. Saipolyazan M. Yusop, emphasized that Indonesia is Selangor's strategic economic partner in fostering stronger economic growth across the ASEAN region. Dato' Ts. Saipolyazan M. Yusop also stated that Selangor is ready to serve as a gateway for Indonesian businesses seeking to expand into the Malaysian market and the wider ASEAN region. [SOURCE]
Jul, 21 2026
Subang Regency continues to strengthen its position as one of the emerging economic growth centers in West Java Province. Driven by the rapid development of industrial estates and the expansion of strategic infrastructure, investor interest in Subang has continued to grow steadily year after year. Head of the Subang Regency Investment and One-Stop Integrated Services Office (DPMPTSP), Dikdik Solihin, said the investment trend in Subang has shown remarkable growth. In 2025, the regency's investment realization significantly exceeded the target set by the government. "The investment target for Subang Regency in 2025 was Rp10.2 trillion. Alhamdulillah, the actual realization reached Rp18.2 trillion," Dikdik said. This achievement has strengthened the Subang Regency Government's confidence in pursuing its 2026 investment target of Rp19.2 trillion. Although the investment realization for the first quarter fell short of the annual target, the administration remains optimistic that second-quarter performance will exceed expectations. "The official second-quarter figures have not yet been released, but there are strong indications that investment realization will surpass the projected target," he said. According to Dikdik, one of the primary factors driving investor interest is the continued expansion of Subang's industrial estates. The regency is currently home to six strategic industrial estates that are ready to accommodate new investments, namely Surya Cipta, Komarindo, Inti Jaya, Patimban, Taifa, and Padasih. In addition to developing industrial zones, the Subang Regency Government has continued to improve the ease of doing business by providing a licensing system that is fast, transparent, and fully integrated. These efforts have become a key competitive advantage for businesses seeking to establish or expand their operations in the regency. "We have regulations that support investment facilitation. Streamlined licensing remains our top priority to ensure investors feel confident and comfortable investing in Subang Regency," Dikdik emphasized. With increasingly comprehensive infrastructure, expanding industrial estates, and the local government's strong commitment to creating a business-friendly investment climate, Subang is expected to remain one of the most promising investment destinations in West Java. The inflow of new investments is anticipated to generate employment opportunities, enhance the region's competitiveness, and promote sustainable economic growth. [SOURCE]
Jul, 17 2026
The Ministry of Agriculture (MoA) is preparing millions of high-quality seedlings in 2026 to accelerate plantation development and strengthen downstream agro-industries across West Java. Director of Plantation Seed Development at the Ministry of Agriculture, Ebi Rulianti, said the ministry has allocated 6.4 million coffee seedlings to support the development of 6,400 hectares of smallholder coffee plantations. In addition, 1.7 million cocoa seedlings have been prepared to revitalize 1,700 hectares of smallholder cocoa plantations. For the coconut sector, the ministry has prepared 352,000 seedlings to support the development of 3,200 hectares of plantations. Meanwhile, sugarcane planting materials have been allocated for 400 hectares as part of the ratoon replacement and crop rejuvenation program, covering a total plantation area of 1,600 hectares. Overall, the program is expected to support the rehabilitation and expansion of approximately 12,900 hectares of smallholder plantations across West Java, accelerating plantation development while strengthening the province's downstream processing industry. "Through this program, we aim to encourage the development of plantation and agro-processing clusters that will optimize land utilization, create employment opportunities, and stimulate economic activity throughout West Java Province," Ebi said. Meanwhile, Dedi Heryadi, Secretary of the Plantation Nursery Association, stated that the plantation downstream development program has encouraged the establishment of large-scale nursery centers in several regions, including Bandung Regency, Pangandaran, Tasikmalaya, Cianjur, Sukabumi, Indramayu, and several other regencies. According to Dedi, these nursery activities are expected to generate employment for approximately 1,500 permanent and temporary workers. The program has also stimulated a wide range of supporting businesses, including logistics services, agricultural input suppliers, agricultural machinery rental services, and various other economic activities. "The program also introduces a number of superior crop varieties to the people of West Java. These include Komasti, Gayo, and Sigararutang coffee; MCC 02 and ICCRI 08H cocoa; Entok Dwarf Coconut, Kopyor Coconut, and Superior Tall Coconut; as well as the Panjalu sugarcane variety," Dedi explained. Environmental advocate and indigenous community leader Tedi Subarkah also welcomed the initiative. He said that distributing coconut, coffee, and cocoa seedlings would not only generate economic benefits but also deliver significant environmental value by increasing forest vegetation through coffee and cocoa cultivation while strengthening coastal ecosystems through coconut planting. Regarding sugarcane, Tedi believes its expansion has the potential to stimulate economic activity in the North Coast (Pantura) region, promote community empowerment, and help reduce extreme poverty. "In addition to receiving free seedlings, farmers will also receive fertilizer assistance and labor support. This program will provide substantial benefits to local communities, as farming has long been an integral part of the Gemah Ripah Loh Jinawi cultural heritage," Tedi said. Tedi also expressed his appreciation to West Java Governor Dedi Mulyadi for his commitment to environmental conservation, community empowerment, and the preservation of local traditions and culture. He encouraged the people of West Java to support the long-term success of the agricultural downstream development program through gratitude, the preservation of cultural values, and active public participation in overseeing its implementation. According to Tedi, support from the government—from the administration of President Prabowo Subianto to the West Java Provincial Government—should remain closely aligned with efforts to strengthen the people's economy, protect the environment, and improve public welfare in a sustainable manner. [SOURCE]
Jul, 17 2026
Indonesia’s development ambitions are not limited to its new capital city, Nusantara, whose rapid development with Chinese investment we had documented earlier in ThinkChina. On the other side of the archipelago, in West Java province, another massive urban project is quietly reshaping the country’s industrial geography. The Rebana Metropolitan Area, comprising seven regencies and cities in the north-eastern corridor of West Java province, is emerging as a very promising economic hub in Southeast Asia, again with China’s economic engagement. The name “Rebana” is an acronym drawn from its three anchor nodes: Cirebon, Patimban and Kertajati. Through Presidential Regulation No. 87 of 2021, this economic zone emerged in Indonesia by forming a regional corridor-shaped network made up of Subang regency, Indramayu regency, Majalengka regency, Sumedang regency, Kuningan regency, Cirebon regency and Cirebon city, with an industrial area measuring 43,913 hectares and a population of close to ten million. In terms of scale, this positions Rebana alongside Indonesia’s major urban agglomerations, such as Jabodetabek — spanning Jakarta and parts of West Java with an estimated population of around 30 to 40 million residents — and Gerbangkertosusila in East Java, with a population of around ten million residents. The rationale behind Rebana is straightforward: Indonesia’s economic activity has long been disproportionately concentrated in the Jabodetabek megapolitan region centred around Jakarta. Rebana offers an alternative, a purpose-built corridor designed to attract investment, generate employment and distribute prosperity more evenly across the archipelago. In the year 2030, it aims to achieve a growth rate of 7.44% and create at least 1.78 million jobs. Is this goal too ambitious relative to Rebana’s perceived and existing advantages factoring in China’s economic participation and contribution? What gives Rebana its competitive edge is the quality and density of its infrastructure. The corridor is traversed by a network of toll roads, including the Cipali, Cipularang and Cisumdawu, linking its industrial heartland to Jakarta in the west and Central Java in the east. Within this network, several major industrial areas, including Subang Smartpolitan, Patimban Industrial Estate, Sumedang Industrialpolis, and the Kertajati International Industrial Estate Majalengka (KIEM), form the zone’s productive core. Anchoring the entire system are two world-class gateways. The Patimban port, located in Subang regency and bordering the Patimban Industrial Estate, is among the strategic projects of the Indonesian government, developed in several stages with a target capacity of 7.5 million twenty-foot equivalent units (TEUs) and a vehicle terminal with a cumulative capacity of 600,000 Completely Built Units (CBUs) annually by 2027. Alongside this, Kertajati International Airport, located in Majalengka, serves as another key facility that is currently undergoing a strategic transformation. The airport is expected to function as an aircraft Maintenance, Repair, and Overhaul (MRO) facility and Sustainable Aerospace Park, as a result of a master agreement signed in April 2025 between the government and the aviation partners. With 84.2 hectares allocated for the operation of the MRO, this development will be a significant step in making Indonesia’s aerospace industry more self-reliant and improving its standing in the global aviation industry. The strength of this infrastructure and industrial ecosystem is increasingly reflected in Rebana’s recent investment inflows and economic performance. For 2025, the total value of investments in Rebana amounted to 33.67 trillion rupiah (US$1.8 billion), up 57.67% throughout 2025, with 36 industrial tenants in operation in Q3 2025. Moreover, the region’s economic growth, which registered at 5.53% in Q3 2025, surpassed that of West Java province and the national average. Despite ranking fourth among foreign investors, China’s committed investment totals 1.41 trillion rupiah, below Hong Kong (8.97 trillion rupiah), Vietnam (2.96 trillion rupiah) and South Korea (1.46 trillion rupiah), based on indicative average 2025 exchange rates. Its expansion, however, is progressing at a notably rapid pace with a clear strategic intent. Including capital flowing from Hong Kong would raise China’s cumulative contribution significantly higher, making it the leading foreign investor in the corridor. Moreover, as of February 2026, about half of the investments in Subang Smartpolitan, which is the primary industrial township within the zone, were made by Chinese investors across sectors such as manufacturing, textiles, and optical infrastructure. No other investment better illustrates the size and scope of Chinese investments in Rebana than the BYD electric vehicle (EV) factory in Subang Regency. BYD, the world’s biggest producer of EVs by volume with a large factory in Thailand and seeing briskly in Southeast Asia, decided that the best place for building its new automotive facility would be Subang Smartpolitan, an integrated 2,717-hectare industrial township owned by PT Suryacipta Swadaya in preparation for turning it into one of the largest automotive factories in Southeast Asia. The plan to build the BYD factory was announced in April 2024 on a 108-hectare land area, which was increased to 126 hectares. It involved a total investment of US$1 billion. Mass production will have an estimated annual production capacity of 150,000 units, which will be increased to 300,000 units. In addition, the BYD facility is more than just an assembly facility; BYD intends to build facilities to produce batteries and plug-in hybrid EVs (PHEV). Moreover, once the plant reaches its peak capacity, it is anticipated to hire around 18,000 employees. In such a situation, when the area suffers from unemployment, the promise takes on tangible meaning. BYD is far from being alone in its commitment. Various Chinese manufacturers across a range of sectors have pledged to be part of the Subang Smartpolitan Project in Rebana. One such company is PT Xinfung Industry Indonesia, a subsidiary of Jiangsu Xinfang Technology Group, which is a textiles and fibres manufacturer formed in 1982 in Zhangjiagang county, Suzhou city. The company, which held an inauguration ceremony in Subang in April 2025, laid the groundwork for a production facility during Phase 1, which covers four hectares of land with an initial investment of US$30 million. The factory manufactures high-end fancy yarns for export across Southeast Asia and is scheduled to be fully operational by the beginning of 2026, with phases 2 and 3 set to triple the initial amount of investment. This project was chosen because of Indonesia’s abundance of labour, business stability, and innovation-oriented culture. In the field of optical infrastructure, there is already interest in building facilities from companies such as PT Yangtze Optics Indonesia, PT Yangtze Optical Fiber Indonesia and ZTT Kabel Indonesia, which is one of China’s largest cable manufacturers. Other Chinese-linked manufacturers present in Subang include PT Jiangsu Jinda Textile Industry, PT H&G Polymeric, PT Zhejiang Binkang (a Shaoxing-based textile printing and dyeing firm) and PT Serendipity International. PT Kids Play Indonesia, the local entity of Cititoy (a Hong Kong-based toy manufacturer with Chinese ownership origins that was established in 1979), has also committed an investment of US$60 million to develop a ten-hectare facility designed for export to international markets, with its groundbreaking ceremony held in December 2024. At full capacity, the factory is expected to create more than 4,000 jobs, with logistics routed through Patimban Port via the forthcoming Patimban Access Toll Road. From telecoms cable to toys, the breadth of the Chinese industrial cluster taking shape in Subang is notable. The relationship between China and Rebana goes beyond business transactions; it has now become institutionalised via high-level state visits and inter-provincial cooperation agreements. In January 2026, Rebana Metropolitan Management Agency (Badan Pelaksana Kawasan Rebana/BP Rebana), the governing entity of the zone, made a strategic visit to the city of Hangzhou (one of China’s top innovation hubs), Zhejiang province. The visit included discussions with the China Center for Cooperation on Special Economic Zones in BRICS countries, launched in March 2025 by Chinese President Xi Jinping and a first-of-its-kind centre in the BRICS economic and trade domain. The discussion centred on Zhejiang province’s special economic zones strategy, emphasising digital trade, green development and institutional innovation and exploring the possibilities for two-way investment and technology cooperation. This interaction continued some weeks later when a group of Chinese investors, led by Teng Ling Jian from the Hangzhou Qiantang Center for Contemporary Internationalization Studies, visited Sumedang regency and held strategic discussions on investments in various sectors, including industry, tourism, and the creative economy. These recent developments can also be seen in the context of prior collaboration between West Java province and China’s various provinces. For instance, West Java province and Sichuan province have been collaborating through the Sister Province programme since 2015. In April 2025, Shi Xiaolin, the governor of Sichuan, paid an official courtesy visit to West Java, and the talks were focused mainly on logistics and connectivity, specifically concerning transport links, such as the possibility of opening up flights from Sichuan to the Kertajati International Airport (which is located in Rebana). All of these meetings, involving Zhejiang and Sichuan provinces, as well as the BRICS special economic zone (SEZ) of Hangzhou city, indicate that China is pursuing cooperation with Rebana through multiple channels in a relatively coordinated manner. Rebana’s fundamental proposition rests on both demographic scale and geographic advantages. An urban population of nearly ten million people, comparable to many other significant cities across the globe, serves as a basis for a large domestic workforce and expanding consumer market. Moreover, industrial estates in this region are strategically located between three crucial logistics facilities that serve as gateways to the outside world: a seaport, an airport and a network of Trans-Java highways. Such locations are indispensable in order to be internationally competitive in export-oriented manufacturing. At the same time, China’s positioning in the context above presents both opportunities and challenges. The transfer of technology from BYD and the deepening of the value chain through Xinfung and ZTT, among other examples, represent actual avenues to industrial upgrading in the region. Indonesia has leverage: the attraction for Chinese businesses in Rebana is not just about its proximity to China but also the massive domestic market of around 287 million people, its relatively low exposure to the elevated US tariffs that have increasingly targeted Chinese exports in recent years, and the advantage of a growing labour force. Rebana is emerging as a grounded laboratory for Indonesia’s development ambitions, where ports, airports, and industrial zones are deliberately integrated to attract investments in various sectors. Realising this potential will require greater legal certainty, regulatory coherence, and stronger institutional coordination to build the confidence needed for foreign direct investment. If managed well, Rebana could become an important gateway towards regional economic development in West Java Province and, more broadly, across Indonesia. If Chinese investment can be leveraged to help achieve this goal, it will add another bright spot to Indonesia-China cooperation under the BRI featuring the Jakarta-Bandung High-speed Train and the Nusantara project. [SOURCE]
Jul, 17 2026
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