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German, US chip investors urge faster permits for Batam facilities

Quantum Luminous Indonesia president director Walter Grieves said the plan was to commence the semiconductor project at the start of 2026.

Deni Ghifari (The Jakarta Post)
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Wed, December 3, 2025 Published on Dec. 3, 2025 Published on 2025-12-03T11:41:37+07:00

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This photo taken on Dec. 25, 2024 shows semiconductor chips under process at a factory in Binzhou, in eastern China's Shandong province. This photo taken on Dec. 25, 2024 shows semiconductor chips under process at a factory in Binzhou, in eastern China's Shandong province. (AFP/-)

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onsortiums of German and United States companies have asked the government to expedite the issuance of permits for their plan to build semiconductor facilities in Batam, Riau Islands, so construction can begin early next year.

The companies involved in the project have grouped themselves into three consortiums: PT Quantum Luminous Indonesia, PT Terra Mineral Nusantara and Tynergy Group. The plan is to build the manufacturing plants in the Wiraraja Green Renewable Energy and Smart-Eco Industrial Park on Galang Island.

Quantum Luminous Indonesia president director Walter Grieves said in a press statement issued on Tuesday that the plan was “to commence [the project] at the start of 2026”, pending approval from the Batam Free Trade Zone Authority (BP Batam).

Grieves said he had sent letters twice to Investment and Downstream Minister Rosan Roeslani and had signed an investment commitment with BP Batam, but implied that the necessary permits had yet to be issued.

Rosan said on Tuesday that the permit process in Indonesia “will not take long and won’t be difficult”, thanks to a regulation that allows his ministry to take over the issuance process when related institutions fail to complete it by a set deadline.

However, Rosan noted that the central government’s hands were tied in this case because the project is located in Batam, a free trade zone with its own authority to handle permit issuance, rather than following the centralized process applied in most other areas, as reported by detik.com.

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The statement explained that the planned project comprises a solar cell and silicon wafer facility, a quartz processing plant and a semiconductor facility. It did not specify which stage of semiconductor processing the facility would handle.

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