Indonesia’s business landscape in 2025 demonstrated resilience amid global uncertainty and domestic transition. The government reinforced its downstream industrialization agenda, highlighted by a Rp100 trillion (USD 6.2 billion) EV battery megaproject in Karawang and a USD 3.9 billion naphtha cracker investment—the largest in ASEAN—strengthening Indonesia’s position in global manufacturing value chains.

Energy policy remained pragmatic, supported by a USD 470 million ADB loan to expand renewable energy while maintaining energy security. A more assertive state role emerged through USD 1,23 billion in food security programs and the takeover of USD 775 million in seized palm oil assets, signaling tighter governance and regulatory enforcement.

On trade, the conclusion of the EU–Indonesia CEPA—eliminating tariffs on over 90 % of goods with trade potential exceeding USD 30 billion—and reduced US export tariffs to 19 % improved Indonesia’s global market access.

However, market volatility, governance challenges in the startup ecosystem, and slower credit growth (7.36 % YoY) underscore the importance of careful market entry strategies.

CzechTrade Office Jakarta perspective:
This overview confirms Indonesia’s growing relevance for Czech companies in industrial technologies, energy solutions, manufacturing equipment, smart infrastructure, and sustainability-driven sectors. CzechTrade Jakarta expects rising demand for high-value, compliant, and technology-driven solutions, while emphasizing the need for strong local partnerships and governance awareness to navigate Indonesia’s evolving regulatory landscape.

Source: www.czechtrade.cz

Zpracoval kolektiv pracovníků zahraniční kanceláře CzechTrade Indonésie.