RI-China Strengthen Investment, Wiraraja Madura Industrial Park Officially Developed

Coordinating Minister for Economic Affairs Airlangga Hartarto (center). (Photo: Ministry of Coordinating Economic Affairs)

JAKARTA - Indonesia and China have strengthened their economic partnership through the signing of a number of memorandums of understanding (MoU) in the framework of the development of the Wiraraja Madura Industrial Estate.

This signing is an important milestone in expanding the investment cooperation between the two countries, as well as paving the way for the development of a modern industrial area in Bangkalan Regency, Madura which is expected to become a new economic growth center in East Java.

The signing ceremony includes the signing of a Memorandum of Understanding (MoU) between PT Wiraraja Madura International and Guangzhou Zhanjiang Industrial Transfer Cooperation Park Management Committee as well as the signing of an Agreement on Joining the Guangdong ASEAN Industrial Park International Cooperation Alliance with Wiraraja Madura Industrial Estate.

Coordinating Minister for the Economy Airlangga Hartarto said that the government would continue to strengthen cooperation with various strategic partner countries to accelerate the development of industrial areas, create jobs and create new economic growth centers in various regions.

"Indonesia has a Two Countries Twin Parks (TCTP) program that we will continue to encourage. This area in Madura in the future is also an Indonesian heavy industry area, Petrochemical (Gresik). So later with the presence of the Bangkalan Industrial Estate, it will be balanced," he said at the signing of the Strategic Cooperation Framework Agreement between Wiraraja Madura Industrial Estate and Guangdong (Fenyong) ASEAN Industrial Park, quoted Thursday, August 6.

Airlangga added that the development of the Wiraraja Madura Industrial Estate will further complement the economic relations between Indonesia and China, which have continued to grow, both through increased investment and bilateral trade.

"Then this will complement the cooperation between Indonesia and China. Because Indonesia and China also have a bilateral swap arrangement (Bilateral Currency Swap Arrangement or BCSA) which is up to 50 billion dollars. Hopefully it can also trade using each currency so that it is not dependent on other currencies," he explained.

Through this cooperation, a number of industrial clusters from China are planned to be developed in the Wiraraja Madura Industrial Estate, including the chocolate, mattress, textile, and yarn industries, as well as various other labor-intensive manufacturing sectors.

The development of the area is also supported by the acceleration of licensing by the Bangkalan Regency Government, the East Java Provincial Government, and licensing service agencies, so that investment realization can immediately begin and have a real impact on the creation of jobs and economic growth in Madura and East Java.

The General Chairman of the Indonesian Industrial Area Association (HKI) and President Director of Wiraraja Madura Industrial Estate Akhmad Ma'ruf Maulana, said that the industrial area was designed to be an integrated manufacturing center that supports the industrial, logistics, and environmentally friendly energy sectors.

He added that the presence of strategic partners from Guangdong is expected to accelerate the entry of new investments as well as expand opportunities for technology transfer and capacity building for national industries.

Meanwhile, the Mayor of Zhanjiang City, People's Republic of China, Li Yongyi, said that Indonesia is one of the important trading partners for Zhanjiang City.

According to him, the cooperation between the Guangdong (Fenyong) ASEAN Industrial Park and Wiraraja Madura Industrial Estate is expected to become a concrete collaboration model in the implementation of Two Countries Twin Parks (TCTP), through the strengthening of investment, exchange of industrial information, and the development of production capacity of both countries.

Spokesperson for the Coordinating Ministry for Economic Affairs Haryo Limanseto added that the development of the Wiraraja Madura Industrial Estate will be a catalyst for new economic growth in East Java.

"This cooperation not only strengthens the economic relationship between Indonesia and China, but also becomes a concrete step for the Government in encouraging quality investment, accelerating the development of new industrial areas, and opening more jobs. With the support of all stakeholders, the Government is optimistic that the development of the Wiraraja Madura Industrial Estate can become a catalyst for new economic growth in East Java and the eastern region of Indonesia," he added.

To note, in recent years, economic and trade cooperation between Zhanjiang and Indonesia has continued to show a positive growth trend, reflected in the increasing value of trade and investment between the two parties.

In 2025, the trade value between Zhanjiang and Indonesia reached 2.461 billion yuan or increased by 6.3 percent compared to the previous year.

In addition, to date, 8 companies from Zhanjiang have realized investments in Indonesia through 12 projects with a total investment value of 370 million US dollars, while 6 Indonesian companies have also invested in Zhanjiang.