Indonesia and Türkiye have reaffirmed their commitment to advancing comprehensive industrial cooperation as a catalyst for economic growth, with both countries agreeing to develop a joint roadmap for long-term strategic collaboration.
“Indonesia will soon prepare a roadmap for Indonesia–Türkiye industrial cooperation to serve as a strategic guide for strengthening long-term collaboration across various sectors,” said Indonesian Minister of Industry Agus Gumiwang Kartasasmita in a statement issued on Monday.
The commitment was formalized during Kartasasmita’s bilateral meeting with Turkish Minister of Industry and Technology Mehmet Fatih Kacir, held on the sidelines of the 12th Annual Teknofest Aerospace and Technology Festival at Istanbul’s Ataturk International Airport on September 20.
The talks build on a series of high-level engagements between the two countries over the past two years.
Since Kartasasmita’s visit to Türkiye in June 2024, several major Turkish conglomerates—including Sanko Holding, Arcelik (KOC Holding), and Kordsa (Sabanci Holding)—have expressed strong interest in investing in Indonesia.
Sanko Holding has already launched a tuna farming project in Biak, Papua.
Kartasasmita said he hopes the group will expand into downstream processing, shipbuilding, and renewable energy, including hydropower.
Kordsa, which operates a tire cord plant in Bogor, is advancing research into composite materials and value-added export products.
The company established a research and development facility in 2023 and plans to develop composites, airbags, and structural reinforcements.
Kartasasmita encouraged the firm to apply for Indonesia’s fiscal incentive scheme, which offers super tax deductions for R&D activities.
Arcelik, the world’s second-largest home appliance manufacturer, has partnered with a local firm to produce washing machines in Indonesia and plans to expand into refrigerators and air conditioners.
The company aims to position Indonesia as its new Asian production base alongside Thailand.
Kartasasmita noted that momentum for cooperation also stems from the High-Level Strategic Cooperation Council (HLSC) held in February 2025, during which Indonesian President Prabowo Subianto and Turkish President Tayyip Erdogan signed a Joint Statement to commemorate the 75th anniversary of diplomatic relations.
The HLSC resulted in 12 memorandums of understanding across sectors such as defense, energy, healthcare, higher education, trade, and industry.
In the industrial sector, both sides agreed to establish a Joint Committee for Industrial Cooperation covering 14 strategic areas, including batteries, electric vehicles, textiles, and the halal industry.
Ten business-to-business agreements were also signed, including partnerships between Pertamina Hulu Energi and Turkish Petroleum (TPAO) in oil and gas, PT PAL Indonesia and TAIS Shipyard to build Istanbul-class frigates, and joint ventures with Baykar and Roketsan to establish combat drone production facilities.
In April 2025, President Prabowo returned to Türkiye for discussions focused on strategic investments in electric vehicle batteries, renewable energy, defense, and high-end textiles.
The visit produced agreements on vaccine production and defense collaboration in drones, missiles, and military communications.
On the commercial front, Indonesian company Asia Pacific Rayon secured multi-million-dollar viscose fiber export contracts with Turkish partners.
Later that month, Kartasasmita also met with the Turkish Ambassador to Indonesia, resulting in an agreement to hold the first Joint Committee Meeting in June 2025.
Initial deliverables include industrial human resource development, techno park cooperation, electric vehicle and battery production, and an investment forum.
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Translator: Ahmad Muzdaffar Fauzan, Martha Herlinawati Simanju
Editor: Aditya Eko Sigit Wicaksono
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