Supporting the industrial transformation of a south-east Asian powerhouse

Blessed with abundant natural resources¹, a huge, relatively youthful population² and a national commitment to the digital transformation of its economy³, Indonesia is poised to play an increasingly significant role on the world stage.⁴

Its economy is the largest in south-east Asia, valued at USD1.4tn⁵, while a target of achieving net-zero emissions by 2060⁶ makes it influential in regional energy transition.

ABB has been partnering Indonesia’s industrial sector since 1988, consistently helping businesses to operate more efficiently and sustainably across key sectors such as geothermal energy, data centers and transport electrification.

Now with more than 500 employees in the country, as well as two manufacturing sites and multiple service centers, we are positioned to help our customers and partners outrun – leaner and cleaner.

Manufacturing locally with an export mindset

We are at the heart of our Indonesian operations , empowering customers across industries to achieve greater operational efficiency, reduce carbon emissions, and unlock long-term value through energy-efficient motors, variable speed drives (VSDs), and intelligent automation.

We also have two Indonesian factories :

I. Our Medium Voltage switchgear factory in Tangerang, which has been been designed for lean manufacturing operations, with the capability to produce thousands of switchgear units every year.

II. Our Miniature Circuit Breaker (MCB) manufacturing plant in Cibitung, West Java, which serves both domestic and international markets in delivering world-class low-voltage protection devices that support safe and reliable energy use in homes, commercial buildings, and industrial facilities.

Our operations in Indonesia have made us a cornerstone of the country’s industrial transformation.  With our solutions that are engineered to run better, we support its economy’s transition to ‘Indonesia 4.0’.  

Here are some highlights of our widespread engagement with Indonesian industry.

• Port automation: We partnered with BIMA to digitize port operations through automation and smart systems, improving throughput and reducing emissions in one of Indonesia’s most critical logistics sectors.
• Rail: ABB traction systems power major infrastructure including the Soekarno-Hatta Rail Link, LRT Palembang, and Jabodebek LRT – enabling cleaner, cost-efficient transport.
• Cement: Medium-voltage drive and transformer solutions for Semen Baturaja
• Pulp & Paper: In Sungai Baung, South Sumatera, ABB delivered a full automation package to a pulp mill, modernizing production and boosting operational efficiency.
• EV infrastructure: We signed an MOU agreement with Haleyora Power in August 2023 to support the Indonesian government in accelerating the national electric vehicle program. 
• EV charging: Our collaboration with PLN Icon Plus focuses on developing electric vehicle charging services to support and facilitate the Indonesian government with a smart and reliable charging infrastructure ecosystem.

As ABB Formula E prepares to race in Jakarta this weekend, we’ve taken a closer look at how we keep helping key Indonesian industries and partners outperform.  To find out more, click on the links below.

Sources:
1. https://inaga-api.or.id/geothermal-potency/resources
2. Statista.com
3. Making Indonesia 4.0
4. Indonesia as a rising economic powerhouse
5. IMF World Economic Outlook Database
6. IEA: An energy sector roadmap to net-zero emissions in Indonesia

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