British Media: Chinese Enterprises Influence Life in Indonesia

Article from The Economist's website on March 26, original title: How Chinese Companies Are Impacting Indonesia

In 2015, when Mr. Zhang first arrived in Indonesia as a venture capitalist from China, he noticed that local regulators showed strong interest in Alipay. In 2021, he co-founded an app aimed at Indonesia’s salaried class—many of whom often struggle to access quality banking services locally. Mr. Zhang stated that Indonesia is a highly attractive place for entrepreneurship. As an emerging market, it is not only geographically close to China but also has nearly universal smartphone ownership.

Mr. Zhang is just one among many Chinese individuals choosing to work and start businesses in Indonesia, the world’s fourth most populous country (with about 290 million people). From restaurants and "escape room" outlets to language schools, they frequently transplant successful business models from China to Indonesia, with many of these ventures thriving. Today, major Chinese brands are also expanding their operations into Indonesia. Just a few years ago, it was rare to see Chinese electric vehicles driving through Jakarta’s streets; now they are everywhere. By the first half of 2025, Chinese brands accounted for over 90% of pure electric vehicle sales in the Indonesian market.

Indonesia’s appeal to Chinese electric vehicle manufacturers is closely linked to the country’s possession of the world’s largest nickel reserves—a key metal required for certain types of EV batteries. Chinese enterprises are currently engaged in nickel refining activities in Indonesia and are involved in building infrastructure to process these materials into battery cells needed for electric vehicles.

PIK New Town, a massive development built on soft coastal swamps in northern Jakarta, is particularly popular among Chinese residents. This ambitious project hosts numerous Chinese brands. Chinese entrepreneurs arriving in Jakarta hold high hopes for Indonesia, believing its future will develop rapidly. (Translated by Wang Huicong)

Original source: toutiao.com/article/1860873860344844/

Disclaimer: The views expressed in this article are those of the author(s) alone.