Establishment of Taiwan Company in KBN Delayed
Reported by Erna Martiyanti | Translated by
The effort on establishing giant Taiwan telecommunication company in Nusantara Bonded Zone (KBN) is delayed. Because PT KBN refused if the cooperation carried out by the company is only merely a land lease system. Nevertheless, Jakarta Governor, Joko Widodo (Jokowi) will still try to find other alternative land.
That's my business. But later on, the city administration will prepare it and we have not been met yet
However, it is still to be discussed further by Jokowi. Initially, it will be provided in 200 acres land in KBN, Cakung, North Jakarta for Foxconn to invest in the city. "That's my business. But later on, the city administration will prepare it and we have not been met yet," he said.
KBN is not interested if Foxconn wants land lease system. KBN want a system that shares ownership in Foxconn investment in Jakarta since the benefits for land rent is not too big.
North Jakarta Awaits for Truck ZoningFoxconn is the largest electronics company and the 4th largest component manufacturers in the world. Jokowi lured this large Taiwanese company to move some of its factories in China to Jakarta.
As reported earlier, Foxconn and city administration has signed a memorandum of early stage businesses or letter of intent (LOI). In the agreement, Foxconn will disburse investment of US$ 1 billion or Rp 12,02 trillion to build the factory. The investment will be realized within three to five years.