Jakarta — Indonesia’s ambitious plan to boost its downstream industries across 28 key commodities could transform the nation into a global powerhouse, according to Investment and Energy Minister Bahlil Lahadalia.
Speaking at the 2025 Energi and Mineral Festival, Bahlil said the government aims to process raw materials domestically—such as turning nickel ore into stainless steel or batteries—to create higher-value exports and attract more global investment.
Energy Minister Bahlil Lahadalia kicks off the Energi Mineral Festival 2025 in Jakarta on July 30, 2025. Behind him is the government’s blueprint for the massive downstream sector development spanning different sectors.
A comprehensive roadmap has been drawn up to add value to a wide range of resources including bauxite, gold, and seaweed. To achieve this, Indonesia will need to attract an estimated $618 billion in investment by 2040.
“We’ll keep pushing this downstreaming agenda. If we remain consistent and execute it well, I believe Indonesia will become one of the world’s most respected countries,” Bahlil said.
Of the required investment, about $498.4 billion is targeted for the mineral and coal sectors, $68.3 billion for oil and gas, and $51.3 billion for marine, forestry, and agriculture—including commodities like palm oil, rubber, and salt.
The government projects the downstream plan will generate $857.9 billion in export value, contribute $235.9 billion to GDP, and create approximately 3 million jobs.
Indonesia has already made progress, notably in nickel. Since banning raw nickel exports in 2020, the country has positioned itself as a leading global exporter of nickel-based products. Copper exports were similarly restricted earlier this year to encourage domestic processing.
Bahlil highlighted the contributions of major mining players like Freeport Indonesia, which operates a gold refinery in Gresik with a 50-ton annual capacity, and Amman Mineral, whose West Sumbawa smelter is expected to produce 18 tons of gold annually.
From January to June 2025 alone, downstream investments reached Rp 280.8 trillion ($17 billion), with nickel and copper accounting for the bulk.
