President Prabowo Subianto inaugurated the PT Lotte Chemical Indonesia petrochemical plant in Cilegon, Banten, while affirming the government's commitment to creating a safe and fair investment climate. He highlighted foreign investor trust as evidence of Indonesia's strong economic prospects. The project aligns with the industrialization downstream vision to reduce imports and boost exports.
On Thursday, President Prabowo Subianto inaugurated the PT Lotte Chemical Indonesia petrochemical plant in Cilegon, Banten. In his speech, he stated that Indonesia must uphold its commitment to a safe, fair, and friendly investment climate for both foreign and domestic investors. "The point is, that's what I want to convey, we must support foreign investment. Let's create mutual benefits," he said.
Prabowo emphasized that the presence of foreign investments like the Lotte Chemical project demonstrates global trust in Indonesia as a reliable partner with strong economic prospects. The government, he added, will ensure investors feel secure and valued, as investment funds represent years of hard work that must be respected. "They trust us here. They bring benefits to us and we must secure them. There should be no disruptions. We welcome them with open hearts and hands," he stated.
He also highlighted legal certainty as the main foundation. "Enforce the law. There must be rule of law, legal certainty. This builds trust from anywhere," Prabowo asserted.
The Lotte Chemical Indonesia New Ethylene (LINE) project is Indonesia's first naphtha cracker plant in 30 years, with a 3.9 billion USD (Rp62.4 trillion) investment. Listed as a national strategic project, it supports Prabowo's Astacita vision for industrial downstreaming, reducing import dependency, and enhancing export competitiveness of basic chemical products. The plant will produce raw materials for automotive, plastics, electronics, and medical equipment industries.
PT Lotte Chemical Indonesia (LCI), established in 2016 with majority ownership by Lotte Chemical Corp, targets commercial operations in October 2025 after main construction completion in March 2025. The timeline includes land acquisition in 2016, groundbreaking in 2018, and an MoU with the government in 2022. The project is projected to generate 2 billion USD in annual revenue, serving 70 percent of the domestic market, substituting 1.4 billion USD in imports, and exporting 600 million USD annually. During construction and operations, it will absorb 40,000 direct and indirect jobs, along with technology transfer and local human resource development.