Indonesia Collaborating with Taiwan for Industry 4.0 Development

Jun 2019

The Ministry of Industry of Indonesia has announced a collaboration with the Industrial Technology Research Institute (ITRI) in Taiwan and management consulting firm, McKinsey, to establish a Digital Capability Center (DCC) for the development of Industry 4.0 in Indonesia. This is part of a roadmap to increase productivity and competitiveness of the Manufacturing sector in the era of Industry 4.0 

The DCC is expected to be utilized by industry players who have not implemented digitalization, especially the small and medium industries. This digital capability center will be built as part of implementing the road map of Making Indonesia 4.0 to increase productivity and competitiveness of the Manufacturing sector in the industrial era 4.0. In April 2018, the Indonesian government launched a roadmap for Industry 4.0 with focus on five key technology areas: Internet of things, artificial intelligence, human-machine interface, robot and sensor technology, and 3D printing. The roadmap also includes ten cross-sectoral national enabling initiatives: (1) improve the flow of goods; (2) develop a roadmap for comprehensive and cross-sectoral industrial zones; (3) improve sustainability standards; (4) empower the small and medium-sized entrepreneurs; (5) build national, digital Infrastructure; (6) attract foreign investment; (7) boost the quality of local human resources; (8) boost the development of ecosystem innovation; (9) design incentives for investment in technology; and (10) harmonize regulations and policies.

The Ministry of Industry has initiate the  INDI 4.0 awards to recognize companies which are adopting advanced technologies. Companies recognized include  PT Indolakto for the food and beverage industry sector, PT Pupuk Kaltim for the chemical industry sector, PT Pan Brothers, Tbk for the textile and clothing industry, PT Toyota Motor Manufacturing Indonesia for the automotive industry sector, and PT Hartono Istana Teknologi for the electronics industry sector.

(Sources:; Ministry of Industry, Indonesia) 


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