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Twin Parks Indonesia: A Strategic Gateway for China–Indonesia Investment

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twin parks Indonesia

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A New Chapter in Indonesia–China Industrial Cooperation

Twin Parks Indonesia marks a significant step forward in strengthening economic ties between Indonesia and China. Through the “two countries twin parks” framework, both governments are developing integrated industrial zones designed to attract large-scale manufacturing and processing investments.

Under this initiative, Indonesia has secured investment commitments of approximately IDR 36.4 trillion for 16 major industrial projects. Most of these developments are planned within the Batang Integrated Industrial Estate in Central Java, a designated special economic zone built to support export-oriented and high-value industries.

Twin Parks Indonesia and the Two Countries Twin Parks Model

The twin parks concept pairs industrial zones in Indonesia with counterpart zones in China. This structure creates mirrored industrial ecosystems that allow companies to operate across both countries with greater coordination and efficiency.

Key industries planned under this model include:

  • Steel manufacturing with annual capacity reaching one million tonnes
  • Food processing for meat and marine products
  • Nickel-iron commodity trade and industrial materials
  • Textile research, raw material sourcing, and downstream manufacturing

Beyond Batang, additional zones are planned in Bintan and other regions, expanding the reach of the twin parks strategy across Indonesia.

Why Twin Parks Matter for China Investment

China’s strong manufacturing base and global supply-chain influence make Indonesia an increasingly attractive destination for expansion. Through twin parks, Chinese companies gain structured access to Indonesia’s resources, workforce, and domestic market.

For investors, the initiative offers:

  • Purpose-built industrial estates with infrastructure, utilities, and logistics support
  • Clear government backing through bilateral agreements and policy alignment
  • Opportunities to combine Indonesian raw materials with Chinese technology and capital
  • Access to diverse sectors, ranging from heavy industry to food and textiles

These factors position the twin parks framework as a strategic gateway for long-term China investment in Southeast Asia.

What Foreign Investors Should Prepare For

While the opportunity is compelling, entering Indonesia’s industrial landscape still requires careful planning. Land use regulations, licensing, environmental approvals, and local compliance can be complex for foreign investors.

Understanding local requirements early helps investors avoid delays and manage risks, especially for large-scale industrial projects.

How Indonesian Consulting Firms Support Twin Parks Projects

Experienced Indonesian consulting firms play a key role in helping foreign investors translate strategy into execution. Typical support includes:

Feasibility and Due Diligence

  • Site assessment, zoning review, and infrastructure readiness
  • Regulatory pathway analysis and risk evaluation
  • Supply-chain mapping and market feasibility studies

Investment Structuring and Company Setup

Licensing and Permit Facilitation

  • Assistance with land, environmental, and industrial permits
  • Coordination with central and regional authorities
  • Support in project documentation and approvals

Project Implementation and Operations

  • Oversight of construction and factory setup
  • Supply-chain, logistics, and vendor coordination
  • Local workforce recruitment and labor compliance

Export, Compliance, and ESG Advisory

  • Guidance on export licensing and customs procedures
  • Compliance with environmental and labor standards
  • Sustainability and governance advisory

Long-Term Outlook for Twin Parks Indonesia

The scale of planned investment, combined with strong bilateral support, suggests that twin parks will play a major role in reshaping Indonesia’s industrial landscape over the next decade. For China-linked manufacturers, the model offers a structured and policy-backed entry point into Indonesia’s growing economy.

Success, however, depends on execution. Investors who combine strategic vision with strong local expertise are best positioned to capture the full value of this initiative.

Conclusion

Twin Parks Indonesia represents the convergence of government ambition, bilateral cooperation, and industrial transformation. With multi-trillion-rupiah investment commitments and a broad industry scope, the initiative offers foreign investors a high-potential entry point into Indonesia.

For Chinese companies in particular, the twin parks framework provides a practical platform to expand operations, optimize supply chains, and establish a long-term presence in Southeast Asia. Partnering with experienced Indonesian consultants can turn this opportunity into sustainable operational success.

Edy Tama is COO of Business Hub Asia with 20+ years’ experience in legal, compliance, and foreign investment, leading operations and regulatory strategy across Indonesia and Southeast Asia.

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