Manufacturing in Indonesia is a long-term commitment requiring a heavy investment in planning and preparation. Be sure the benefits outweigh the often hidden costs.
Incentives exist for foreign entities and Indonesian export of manufactured products. These include exemption from import duties and value added tax, especially for those in bonded areas.
Foreign-owned companies are permitted in Indonesia and the percentage ownership varies according to the sector. However, there is a negative list of industries / types of foreign investment in certain sectors that is not yet available to foreigners.
