Indonesia’s industrial diplomacy took center stage at the World Expo 2025 in Osaka, where the country showcased its manufacturing potential and secured key international investment commitments. With a focus on sustainability, innovation, and inclusive growth, the event marked a pivotal moment in Indonesia’s efforts to elevate its global industrial footprint. From battery technology to agro-biotech, the partnerships forged signal a new chapter in the nation’s industrial transformation.
Key Facts & Background
- The Ministry of Industry (Kemenperin) participated in the World Expo 2025 in Osaka, Japan, from October 6–13, 2025, through a national pavilion and business forum.
- The event attracted significant foreign investor interest in industrial zones, agro-industry, and sustainable manufacturing.
- Deputy Minister of Industry Faisol Riza emphasized the forum’s role in promoting inclusive, sustainable, and competitive industrial growth.
- Key bilateral meetings included:
- Panasonic Energy: discussions on battery technology collaboration.
- NEDO (New Energy and Industrial Technology Development Organization): focus on sustainable industrial R&D and technology deployment.
- A strategic agreement was signed between Kemenperin’s Directorate General of Industrial Resilience and NEDO, titled “Cooperation on the Development, Utilization, and Optimization of Sustainable Technology in the Industrial Sector.”
- A $317 million Conditional Sale and Purchase Agreement was signed between Artha Industrial Hill and Guangxi LiuGong Machinery Co., Ltd to establish a modern manufacturing facility in Karawang, West Java.
- The second day of the forum highlighted Indonesia’s agro-industrial innovation, featuring companies such as PT Frootiful Natural Nusantara, PT Alga Bioteknologi Indonesia (ALBITEC), and PT Bukit Sari.
- Letters of Intent (LoIs) were signed with Japanese partners Space Seed Holdings Inc. and Take Craft LLC, focusing on healthy lifestyle products, biotechnology, and microalgae-based nutrition.
- The event reinforced Indonesia’s commitment to increasing the share of processed food, technology, and manufactured goods in its export structure.
Strategic Insights
Indonesia’s active engagement at the World Expo 2025 in Osaka reflects a strategic pivot toward industrial diplomacy as a tool for economic transformation. By aligning its industrial development agenda with global sustainability goals, the country is positioning itself as a competitive and responsible manufacturing hub in the Asia-Pacific region. The partnerships secured—particularly in battery technology and green industrial innovation—signal a forward-looking approach that integrates environmental stewardship with economic ambition.
The collaboration with Panasonic Energy and NEDO is especially significant in the context of the global energy transition. As demand for electric vehicles and renewable energy storage surges, battery technology becomes a cornerstone of future industrial competitiveness. Indonesia’s abundant nickel reserves and growing manufacturing base make it a natural partner in this space. By anchoring R&D and sustainable technology deployment domestically, Indonesia can move up the value chain and reduce reliance on raw material exports.
The $317 million investment by LiuGong Machinery to build a modern manufacturing facility in Karawang underscores Indonesia’s appeal as a production base for global firms. This investment not only brings capital and technology but also creates jobs, enhances local supply chains, and strengthens industrial ecosystems. It reflects confidence in Indonesia’s regulatory environment, infrastructure readiness, and long-term market potential.
Equally important is the spotlight on agro-industrial innovation. The partnerships with Japanese firms in biotechnology and microalgae-based nutrition highlight Indonesia’s potential in health-oriented and sustainable food systems. These sectors are increasingly relevant in a world grappling with climate change, food security, and shifting consumer preferences. By nurturing innovation in agro-processing, Indonesia can diversify its export base and support rural development.