The Government is Boosting Semiconductor Downstreaming to Optimize Competitiveness in ASEAN
Jakarta – Chairman of the Indonesia Chip Design Collaborative Center (ICDEC), Trio Adiono, emphasized that strengthening research and development of chip design is a key strategy to bring Indonesia into the global value chain (GVC) of the global semiconductor industry.
This step is in line with the government’s target of making Indonesia a major competitor in the ASEAN region in the semiconductor industry through sustainable global collaboration.
Trio stated that through consistent research and education collaboration, Indonesia will not only act as a market but also as a producer of knowledge, talent, and provider of technological solutions for the international semiconductor industry.
“Chip design is a strategic entry point for Indonesia to strengthen its position in the global semiconductor supply chain,” he said.
Currently, ICDEC has partnered with a number of national companies to actively participate in joint research, including NICSLAB, Polytron, INTI, Samator, and LEN.
Furthermore, strong support also comes from global partners such as Cadence, MEDs, Qualcomm, High Tech NL, IMEC, ASML, and Fraunhofer. This cross-border collaboration is a crucial foundation for accelerating the transfer of knowledge and technology, as well as strengthening the capacity of Indonesia’s human resources.
The government’s support for this agenda was confirmed by the Minister of Industry, Agus Gumiwang Kartasasmita.
He emphasized the Ministry of Industry’s commitment to accelerating the strengthening of high-tech national industries, including the development of the semiconductor industry, in line with President Prabowo Subianto’s directives.
“In the past five years, the Ministry of Industry has actively taken the initiative to be directly involved in the development of chip design,” said Agus.
He also emphasized that the Ministry of Industry has signed a memorandum of understanding with Apple which includes a commitment to develop research and development in Indonesia through collaboration with ICDEC.
“This collaboration confirms that Indonesia is not only a market but is also starting to build capabilities as part of the global innovation ecosystem, particularly in chip design development,” Agus said.
The development of the national semiconductor industry has also been included in the National Development Planning Agency’s Blue Book and is a cross-ministerial agenda. The Ministry of Industry is even preparing physical infrastructure by providing a dedicated floor at the Indonesia Manufacturing Center (IMC) as a collaborative hub for chip design research and innovation.
Meanwhile, Coordinating Minister for Economic Affairs Airlangga Hartarto emphasized the importance of synergy between semiconductors and artificial intelligence.
“Semiconductors and Artificial Intelligence (AI) play a crucial role in technological development and the future of the world. I’m excited because this is the combination of both hardware and software.”
Through global collaboration, strengthened research, and cross-sector policy support, the government is optimistic that Indonesia can strengthen its competitiveness and position itself as a strategic competitor in the ASEAN semiconductor industry.
