JAKARTA - Australian investors are expected to participate in encouraging investment growth in Indonesia in the textile and automotive industries following the ratification of the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA).
Airlangga Hartarto, Coordinating Minister for the Economy said Australia benefited from the foreign exchange thread in relations between Indonesia and Australia. "Of course it is expected that with the existence of the IA-CEPA even though the import duty will be reduced on average from 5% to 0%. That will be encouraged are textiles and automotive, "he said as quoted from the website setkab.go.id, Monday (10/2).
According to him, so far investment from Australia to Indonesia has not been included in the top five or the range of investment values reached US$ 400 million to US$ 700 million.
As is known, he said, the automotive sector in Australia has a demand of US $ 1.1 million and commercial vehicle products such as trucks or SUVs are in great demand. In Indonesia alone, continued Airlangga, hybrids and electric vehicles will only begin production in about 2021. (LK)