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In a pivotal move to strengthen Indonesia–South Korea economic relations, the Federation of Korean Industries (FKI) and Indonesian Employers’ Association (APINDO) co-hosted the "Korea-Indonesia Business Roundtable". 

This high-level engagement marks a milestone in bilateral collaboration and reaffirms Indonesia’s position as a key strategic partner for Korean investors seeking long-term, high-impact opportunities in a dynamic and future-oriented economy. 

The business visit is followed by a Memorandum of Understanding (MoU) signing to establish the Korea-Indonesia Business Council. Chairman of APINDO Shinta W. Kamdani, Vice Chairman of FKI Kim Chang Beom, and Chairman of Lotte Group Shin Dong Bin also attend the business roundtable.

A visit of a high-level Indonesia and Korea business delegation, comprising Indonesia business leaders and 24 CEOs and top executives of the most influential and leading Korea conglomerates and industries, is scheduled to meet President Prabowo Subianto and his cabinet ministers to strengthen and deepen strategic partnerships. 

Chairman of APINDO Shinta W. Kamdani highlighted, this bilateral roundtable meeting is foremost since South Korea’s rising prominence as a strategic investment partner for Indonesia, securing its position as the 7th largest source of foreign direct investment (FDI) by 2024. Over the past decade, South Korean investments have seen robust growth, surging from USD 1.21 billion in 2015 to nearly USD 3 billion in 2024, reflecting a remarkable 145% increase. While the trajectory experienced brief setbacks, notably in 2016 and 2019, the long-term trend underscores a deepening economic alliance. Impressively, South Korean investment demonstrated strong resilience during the pandemic and has maintained upward momentum, culminating in a peak of USD 2.98 billion in 2024.

Further, Shinta mentioned, equally important, the visit acts as a forward-looking platform to address global economic situations. Through high-level exchanges, Korea and Indonesia seek to develop resilient policy responses that safeguard regional economic stability. In parallel, the delegation aims to lay the groundwork for South Korea’s chairmanship of APEC 2025 by identifying joint business-driven initiatives that will shape a forward-thinking and inclusive regional economic agenda. 

She added that the total cumulative investment of these Korean companies in Indonesia exceeds USD 15.4 billion (approximately IDR 270 trillion) as of 2024, with future committed investments projected from 2025 onward across key strategic sectors. The delegation includes companies with significant operations and expansion plans in automotive and EV ecosystems (Hyundai, EcoPro, LS Mtron), petrochemicals and materials (Lotte Chemical, POSCO, KCC), finance and digital banking (KB Financial, Hanwha), ICT and digital transformation (MegazoneCloud, LG CNS), F&B and logistics (CJ, SPC), healthcare (CKD), and cloud/AI technology (MegazoneCloud).

To enhance Indonesia–Korea business cooperation, APINDO and FKI have officially signed a Memorandum of Understanding to establish the Korea–Indonesia Business Council. This strategic initiative formalizes a shared commitment to deepening investment, expanding trade partnerships, and fostering collaboration in priority sectors such as infrastructure, future-oriented industries, renewable energy, manufacturing, downstream industries, and the digital economy. 

Designed as a multi-stakeholder platform, the Council will facilitate structured business matchmaking, co-investment planning, and joint ventures between leading companies from both nations, while also serving as a collective voice in global forums to promote sustainable and inclusive economic policies. Both FKI and APINDO have also emphasized the role of the private sector in supporting the implementation of the Indonesia-Korea Comprehensive Economic Partnership Agreement (IK-CEPA) and driving economic transformation.

From Indonesia’s perspective, the Council presents a key opportunity to unlock the full potential of IK-CEPA, which remains underutilized. With 18 project proposals already submitted, Indonesia aims to diversify its export portfolio beyond coal and copper and capitalize on Korean market concessions for products like garments, seafood, and tropical fruits. By addressing challenges such as SPS and halal certification standards, and improving exporter readiness and regulatory alignment, the Council is expected to catalyze new trade and investment opportunities, fostering a more balanced, future-oriented, and mutually beneficial economic partnership.

In his opening remarks, Chairman of Lotte Group, Shin Dong-bin stated, “Indonesia, as ASEAN’s largest economy, is a key partner for Korean companies.” He stressed that Korean firms could serve as strategic partners in helping Indonesia shift from a resource-based economy to a value-creating economy, particularly through downstream industrial cooperation. He cited examples such as Hyundai’s battery cell and EV production facilities and value-chain integration initiatives being planned by LX International and Ecopro, which can potentially contribute to Indonesia’s industrial advancement.