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Indonesia faces daunting challenges in push towards manufacturing

Foreign investors needed to be convinced the government is serious on reform; domestic firms must start competing internationally

Published Tue, Feb 16, 2016 · 09:50 PM

    Cilegon, Indonesia

    AT a factory surrounded by towering steel mills on the west side of Indonesia's Java island, German engineering giant Siemens is ramping up production of steam condensers, turbines and other specialist parts to fit out power stations across the world.

    The plant, a small repair shop 30 years ago but now covering the area of six soccer pitches, is a rare manufacturing success that Indonesian President Joko Widodo needs more of, as he tries to spur economic growth in the resource-rich archipelago amid tumbling commodity prices.

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