Luhut Visits Two Chemical Factories in China, Encourages Both to Increase Investment in Indonesia

- 23 May 2023 10:00 WIB
Coordinating Minister of Maritime Affairs and Investment Luhut Binsar Pandjaitan visiting a factory in China.
Coordinating Minister of Maritime Affairs and Investment Luhut Binsar Pandjaitan visiting a factory in China.

JAKARTADAILY.ID – Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, recently embarked on a visit to two prominent chemical companies in China, namely Wanhua Chemical and Walsin Lihwa Corporation, with the aim of encouraging them to boost their investments in Indonesia.

Following his participation in President Joko Widodo's activities at the G7 event in Hiroshima, Japan, Luhut expressed his intention to visit China in order to gain insights into Chinese companies with branches in Indonesia and their interest in further investments.

Speaking about his visit, Luhut stated, "I have planned visits to five cities in China for a long time because I wanted to witness the ins and outs of Chinese companies that have branches in Indonesia and they want to invest here."

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During his visit, Luhut focused on Wanhua Chemical, a globally renowned chemical company based in Yantai. Established in 1998, Wanhua Chemical has evolved into one of the largest manufacturers of isocyanates, chemicals crucial in the production of polyurethanes.

Luhut highlighted the importance of polyurethane, which is extensively used in various products ranging from furniture foam to automotive coatings and even airplanes.

He emphasized Wanhua Chemical's expansion beyond China, with operations now established in several countries including the United States and Hungary. Luhut revealed that Wanhua Chemical had sent representatives to Indonesia a week prior to his visit, and he aimed to convince them to invest in Indonesia.

Luhut also visited Walsin Lihwa Corporation, a multinational company renowned for its production of stainless steel, copper, and electrical cables. Founded in 1966, Walsin Lihwa Corporation has become a major player in its industry.

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The company has already established a Stainless Steel and Nickel Matte processing factory in the Morowali and Wedabay Industrial Areas. Luhut expressed his intention to persuade Walsin Lihwa Corporation to double its investment in Indonesia, highlighting the company's active engagement in research and development aimed at enhancing production efficiency and developing new products.

Luhut's visit to China aims to generate a multiplier effect for the Indonesian people, particularly in terms of technology transfer that would contribute to enhancing the quality of domestic industries.

Luhut stated, "I hope this trip to China will produce a multiplier effect for the Indonesian people. The important thing is in terms of technology transfer which will encourage the improvement of the quality of the domestic industry."

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Editor: Suksmajati Kumara


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