Danantara, MIND ID and Inalum Strengthen Integrated Aluminum Ecosystem in Mempawah, Target Self-Sufficiency by 2030
Sun 23 Aug 2026, 16:39 PM
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BPI Danantara Indonesia, together with MIND ID and PT Indonesia Asahan Aluminium (INALUM), discussed strengthening an integrated national aluminum industry ecosystem in Mempawah, West Kalimantan. The meeting was part of the national downstreaming agenda aimed at transforming natural resource wealth into industrial strength.
The matter was conveyed by BPI Danantara CEO and Investment and Downstreaming Minister Rosan Roeslani through his official Instagram account, @rosanroeslani, on Saturday (August 21, 2026).
“Downstreaming must transform natural wealth into industrial strength. Together with MIND ID and INALUM, we discussed the development of an integrated aluminum ecosystem in Mempawah, West Kalimantan, from bauxite and alumina to aluminum,” Rosan wrote.
The ecosystem covers the entire supply chain, from bauxite mining and the Smelter Grade Alumina Refinery (SGAR) to the Aluminum Smelter. The project is being developed by MIND ID members INALUM and ANTAM through PT Borneo Alumina Indonesia.
The main target of the project is to strengthen the national strategic supply chain and promote aluminum self-sufficiency by 2030. The government aims to have all energy infrastructure needed to support smelter operations ready by 2028.
Previously, Danantara also held groundbreaking ceremonies for six national downstreaming projects worth around USD 7 billion, or IDR 110 trillion, in February 2026. One of them is the bauxite-to-alumina and aluminum processing project in Mempawah, with total investment reaching USD 6.32 billion.
Aluminum is considered a strategic material for the 21st century, with applications ranging from transportation and renewable energy to construction and the defense industry. Through downstreaming, the value of bauxite, which initially stands at USD 40 per ton, can rise to as much as USD 2,800-USD 3,000 per ton when processed into aluminum.
In addition to the mining sector, the meeting also addressed strengthening the manufacturing sector. Danantara held discussions with PT Gajah Tunggal Tbk regarding production expansion, including the development of PCR tire facilities.
The move aims to strengthen the domestic market while expanding export markets for Indonesian tire products.
“From resources to industry. From industry to added value. This is what downstreaming is about: creating jobs, strengthening self-reliance, and enhancing Indonesia’s competitiveness,” Rosan stressed.
The collaboration between Danantara, state-owned mining companies, and private-sector manufacturers is expected to accelerate Indonesia’s transformation into a globally competitive industrial nation.
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