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Batam is an industrial boomtown, an emerging transport hub and part of Special Economic Zone with Singapore. Batam’s strategic location at the crossroads of Singapore, Malaysia and Indonesia also enables its opportunity to be developed into a key access point of global transportation hub. Since 2009, Indonesia’s government officially declared Batam as part of Free Trade Zone. As a Free Trade Zone, the island has many resources and investment opportunities in various fields.

The FTZ in Batam is part of Indonesia’s economic development strategy to be able to interact productively on regional and international economic scene. 

The masterplan of Batam development is enhanced to certain main functions such as industrial, trade, tourism, transhipment area, and services. All imported goods for production purposes, such as capital goods and raw material, are exempted from import tax.


Foreign companies also seek to lend their expertise to participate in opportunities for upcoming infrastructure projects. The transformation has made Batam as one of the richest and fastest-growing region in the country, and just behind Jakarta as the port of entry of choice for visitors. The city marks significant growth in private investments and traction since gained steadily for Batam’s rise in the very near future.



Batam is a strategic city to develop your industrial business. Batam could be the starting point of business expansion to Singapore and Malaysia because it is located close to those countries, which are the center of international trade.

Batam strategic location has made this city as an Indonesia’s industrial icon. Its strategic location could also be used as vessel transit point before continuing sail out for shipment of goods and commodities to various Indonesian regions and other places around the world


Batam sits astride to the economic gateway of one of the world ‘s most important trade routes. With its geo-strategic position, Batam has the opportunity to play a key role in Indonesia’s economic trade.


Electronic Industry

Indonesia are currently developing the fourth industrial revolution (also referred to as Industry 4.0), including the manufacturing sector. Batam is one of Indonesia’s cities that provides benefits to the manufacturing industry. Proven by lot of electronic manufacture investor in Batam start investing and accommodate the expansion of the electronic manufacture industry.


Aviation Industry

The local aviation industry is expected to rapidly evolving, particularly in Batam. The city has been developed into aircraft maintenance centre. In maintenance, repair and overhaul of several airlines, where this sector grow continuously to operate and increase its capacity development.


Oil and Gas Industry Manufacture

There’s a lot of foreign investment for oil & gas fabrication companies in Batam. Which its core business activity is in the manufacturing for all oil & gas facility components, offshore drilling platform infrastructure equipment, spare parts and piping.


Ship Fabrication Industry

Batam is the second largest shipyard industry in Indonesia. The shipyard sector in Batam is also considered as investment target for foreign companies to invest their capital. The shipyard industry is developing on various sector focuses on making passenger ships, and supporting vessels for the oil and gas industry. Batam shipbuilding industry are also capable for fabrication of patrol boat and warships.


Investment Facilities

  • Allowance to establish foreign ownership

  • Streamlined Procedure for foreign investment

  • Foreign investment license for 30 years and extendable

  • Simple Immigration procedure for expatriates

  • Land lease up to 80 Years and extendable

  • Easy Import and Export procedure

Investment Incentives

  • No export-import duties on machine, equipment, spareparts, and RAW Materials

  • Exemption on Value Added Tax for all processing industry for export purposes

  • GSP (Generalized Systems of Preferences) Facility

  • Competitive Investment and Operation Cost

  • Double Taxation Avoidance Agreement with 57 Countries

  • Three Hours Investment of 8 License (Min. USD 4 Million and/or 300 local employees)


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