China's Xinyi to invest $11.5 billion in Indonesia factory -Indonesian minister

Xinyi Glass Holdings

28/07/2023 11:39

JAKARTA, July 28 (Reuters) - Chinese glass producer,
Xinyi Glass Holdings Ltd  0868.HK , has committed to investing
$11.5 billion to build a quartz sand processing plant in
Indonesia, an Indonesian minister said on Friday.
    Minister Bahlil Lahadalia said Xinyi Glass Holdings Ltd
signed a memorandum of understanding with the Indonesian
government on Friday. 
    The deal comes after a delegation led by the Indonesian
president visited China's Chengdu this week.
    The planned new factory would be built on the island of
Rimpang, off Indonesia's Sumatra island, near neighbouring
Singapore, Bahlil said in a video statement.
    The $11.5 billion investment would be Xinyi's second venture
in Indonesia following last year's $700 million investment in
East Java, he said.
    He said 95% of the output from the quartz sand plant, which
is used to make glass, would be exported.
    Xinyi did not immediately respond to Reuters' request
seeking comment.
    The Indonesian president, commonly known as Jokowi, is in
China this week to attend the opening ceremony of the FISU World
University Games in Chengdu.
    As well as meeting with the CEO's of several Chinese
companies, Jokowi met China's President Xi Jinping who told him
China and Indonesia should ensure the high-standard completion
of the Jakarta-Bandung high-speed railway as it nears commercial
operation.

 (Reporting by Stanley Widianto; Editing by Fransiska Nangoy and
Sharon Singleton)
 ((Widianto.Stanley@thomsonreuters.com;))