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Trump raises tariffs, Indonesia is ready for Chinese factories to relocate

Ranny 05 Feb 2025 12:28EN

Indonesia's Deputy Minister of Industry said in a dialogue with industrial zone managers in the Batam Special Economic Zone that given Trump's plan to set new import barriers and tariffs on products from China after his election as US President, Chinese companies are considering looking for new locations in the ASEAN region to relocate their factories.



Therefore, there may be a situation where Chinese factories move to Indonesia in the future, and industrial zones in Batam should be prepared to seize the opportunity.

Indonesia is considered to have a great chance of becoming a destination for factory relocation because of its stable economy and strategic location.

Currently, there are several industries such as electronics, textiles, footwear and automobiles that have the intention to relocate, and several industrial zones in Batam and areas such as the Bintan Industrial Zone are preparing for possible factory relocation to strengthen Indonesia's position as a manufacturing producer.



The Bintan Industrial Zone is designed as a halal industrial zone with an area of 4,000 hectares, and there is also a great chance that it will develop by taking over the relocation of companies from China.