Five major U.S. companies have committed to investing a combined total of $23.21 billion in Indonesia following a bilateral trade agreement that reduced tariffs on Indonesian goods from 32 percent to 19 percent, according to data from Indonesia's Coordinating Ministry for Economic Affairs.
The investment breakdown includes ExxonMobil pledging $10 billion for a carbon capture and storage facility, Oracle committing $6.5 billion to build a data center in Batam, Amazon Web Services allocating $5 billion for AI and cloud computing infrastructure expansion, Microsoft investing $1.7 billion for cloud and AI infrastructure, and General Electric contributing $10.9 million for Indonesia's first CT scanner production facility.
Coordinating Minister for Economic Affairs Airlangga Hartarto confirmed Oracle's expansion plans, stating that the company is in discussions to replicate its operations from Johor, Malaysia, with the targeted $6.5 billion investment in Batam.
Despite government expectations, Apple remains notably absent from the commitment list and has yet to move forward with its previously anticipated $1 billion investment for an AirTag manufacturing plant in Batam through its Asian partner Luxshare-ICT.
Investment Coordinating Board deputy chairman Riyatno expressed continued optimism about Apple's participation, noting that the tech giant has already purchased land for their planned investment, even as recent trade deals removed local content requirements that previously delayed iPhone 16 sales in Indonesia.
