Batam semiconductor project draws US$500 million from two US firms
The development will cover three hectares and is projected to create 1,000 jobs, with a later expansion planned on Galang Island.
A US$500 million semiconductor project in Batam, Indonesia, has been launched by US companies Tynergy Technology Group and Essence Global. Its first location is the Wiraraja I Industrial Estate in Kabil, where it will occupy three hectares and is expected to generate 1,000 jobs.
Akhmad Makruf Maulana, president director of Wiraraja Green Renewable Energy & Smart Eco-Industrial Park (Geseip), said groundbreaking would mark the opening investment phase. Bisnis.com reported his remarks.
The companies' partnership also encompasses silica sand processing, an AI-powered smart factory and sodium-ion battery assembly. Operations are planned to extend to the Wiraraja Geseip National Strategic Project on Galang Island after the Kabil facilities become operational.
The Batam investment follows the signing of a US$31.6 billion joint venture agreement on Feb 18. President Prabowo Subianto attended the signing as a witness at the US Chamber of Commerce in Washington, DC.
Indonesia's reliance on imported semiconductor inputs was highlighted by Deputy Communications and Digital Minister Nezar Patria on July 14. Recalling a visit to PT Infineon Technologies Batam, he said higher-value materials and components were still sourced abroad, including gold bonding wire for packaging chips.
