China has released its first comprehensive map of seabed chemical elements to identify rare earth and strategic mineral reserves, forming the basis for expanding marine resource exploration.
Meanwhile, Japan is accelerating trials to extract rare earth-rich seabed mud to boost domestic production and reduce import dependence. These moves mark a new phase in global competition over strategic mineral resources sourced from the ocean.
—South China Morning Post, April 16, 2026
Danantara Reviews 31 Waste-to-Energy Project Locations
Danantara Indonesia is currently reviewing 31 Waste-to-Energy (PSEL) project locations to support waste management and renewable energy development. Of these, 20 locations are considered ready for the next stage, while the rest still require regulatory verification.
The projects will be implemented in collaboration with local governments—who will provide land and waste supply—while Danantara will focus on investment and technology. Development will follow strict governance standards to ensure project feasibility, attract investors, and deliver long-term benefits.
—Kontan, April 15, 2026
US Encourages Civil Industry Involvement in Weapons Production
The Pentagon is exploring partnerships with major manufacturing companies such as General Motors, Ford, GE Aerospace, and Oshkosh to expand weapons production capacity and military logistics.
This move is part of a strategy to strengthen the defense industrial base by leveraging civilian industry capacity, while anticipating supply needs due to global conflicts and declining military stockpiles. Strategically, this approach signals a shift toward integrating commercial manufacturing with defense to enhance production flexibility and speed in response to geopolitical dynamics.
—Reuters, April 16, 2026
Automakers Shift Focus to Battery Storage
Automotive manufacturers such as Ford, General Motors, and LG Energy Solution are beginning to redirect EV battery factory capacity toward energy storage systems, driven by rising demand from data centers and renewable energy.
However, the transition is not easy—storage demand (±76 GWh) is still far below EV battery capacity (±275 GWh), while factory conversion is costly and can take up to 18 months. Amid this shift, Tesla stands out, with its energy storage business growing rapidly and becoming increasingly profitable.
—Reuters, April 15, 2026
Strategic Partnership Between BP Batam, PLN Batam, and DayOne for Hyperscale Data Center Development
Batam is strengthening its position as a Southeast Asian digital investment hub through collaboration between BP Batam, PLN Batam, and DayOne to develop hyperscale data centers. The project is supported by up to 450 MW of power supply and will be rolled out in phases during 2026–2027 at Kabil Industrial Tech Park.
In addition to enhancing digital infrastructure for AI and cloud needs, the project also includes green energy development through solar power (>200 MWp) and improved fiber optic connectivity.
Strategically, this investment reinforces Batam’s role in the SIJORI ecosystem (Singapore–Johor–Batam), driving digital economic growth, attracting global investment, and creating job opportunities in the technology sector.
—Bisnis Indonesia, April 17, 2026
Indonesia–US Agree on Major Defense Cooperation Partnership (MDCP) – Next-Generation Military Technology Collaboration
Indonesia and the United States have officially established the Major Defense Cooperation Partnership (MDCP) as a long-term strategic defense cooperation framework. The partnership focuses on three main pillars: military modernization, human resource capacity building through training and education, and strengthening joint exercises and operational cooperation.
Through MDCP, both countries will also explore the development of next-generation defense technologies, including maritime, underwater, and autonomous systems, as well as enhancing maintenance, repair, and overhaul (MRO) capabilities to improve operational readiness.
—Kontan, April 14, 2026
Indonesia’s Pharmaceutical Industry Under Geopolitical Pressure, Needs Stronger Supply Chains
The national pharmaceutical industry is facing pressure from geopolitical uncertainty, which disrupts imported raw material supplies and increases production costs. Companies such as Kimia Farma and Darya-Varia Laboratoria are beginning to feel the impact on raw material and packaging prices, although operations remain relatively stable.
To mitigate risks, industry players are strengthening supplier diversification, improving efficiency, and promoting the use of local raw materials. Despite the pressure, the industry remains optimistic about growth, with resilience in supply chains and cost structure strengthening as key factors amid global volatility.
—Kontan, April 15, 2026
Business Activity Slows in Early 2026 but Remains Positive
Business performance in Q1 2026 continues to grow positively with a Business Activity Balance (SBT) of 10.11%, although it has slowed compared to the end of 2025. The slowdown is driven by external factors such as Middle East conflicts disrupting logistics, as well as weak domestic purchasing power affecting production and company cash flows.
Although investment remains relatively stagnant and businesses adopt a wait-and-see approach, the outlook is still considered positive. Future recovery will largely depend on global stability, improved purchasing power, and supportive government policies.
—Kontan, April 17, 2026
Tax Ratio Target of 13% Faces Realization Challenges
The government’s optimism to increase the tax ratio to 12%–13% in 2026 is being questioned after tax revenue growth slowed significantly in March (7.6%), down from over 30% in January–February. The earlier surge is considered to be largely driven by a low base effect rather than a sustained trend.
Several analysts estimate the realistic tax ratio to be in the range of 9%–12%, unless extraordinary policies such as tax rate increases or tax amnesty are implemented. Aggressive targets also risk putting pressure on businesses, especially amid global uncertainty.
Overall, improving the tax ratio is seen as more dependent on economic growth and long-term structural reforms rather than short-term measures.
—Kontan, April 14, 2026