Lotte Chemical Plant Cuts Imports 1.4 Billion US Dollars

Energy and Mineral Resources Minister (ESDM) Bahlil Lahadalia announced on 10 November 2025 that the Lotte Chemical plant in Cilegon, Banten, will reduce Indonesia’s petrochemical imports. The New Ethylene Project carries an investment value of US $3.9 billion.

The facility, with a naphtha processing capacity of 3,200 kilotons per year, is expected to generate downstream value of US $2 billion, of which US $1.4 billion will replace imports. Key outputs include ethylene, propylene, BTX, as well as polyethylene and polypropylene used by domestic industries.

Seventy percent of the production is slated for the domestic market, strengthening local raw material supply, easing trade‑balance pressure, and boosting the competitiveness of the national industry. Export growth is projected at US $600 million annually.