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New Energy World™
New Energy World™ embraces the whole energy industry as it connects and converges to address the decarbonisation challenge. It covers progress being made across the industry, from the dynamics under way to reduce emissions in oil and gas, through improvements to the efficiency of energy conversion and use, to cutting-edge initiatives in renewable and low-carbon technologies.
Indonesia builds toward the energy transition
12/3/2025
8 min read
Feature
South-east Asia is being reshaped in terms of the energy transition, faced with US President Trump’s proposed tariffs on Chinese and ASEAN (Association of South East Asian Nations) imports. Dr Nuki Agya Utama, Head of Asia Zero Emission Centre, Economic Research Institute for ASEAN and East Asia, looks at the implications for Indonesia in particular.
President Trump’s proposed tariffs – 60% on Chinese imports and 10% on goods from other regions, including Europe and South-east Asia – are poised to disrupt supply chains and create profound economic realignments. These policies could fundamentally alter the global industrial landscape.
South-east Asia, and Indonesia in particular, stands at a critical juncture to capitalise on this shift. With the right strategies and investments in infrastructure, energy and workforce development, Indonesia could potentially secure its place as a global manufacturing hub, driving robust economic growth and achieving prosperity under Indonesian President Prabowo Subianto’s leadership.
South-east Asia is well-positioned to benefit from these global realignments. As companies look to relocate supply chains away from China to avoid US tariffs, ASEAN nations such as Vietnam, Thailand and Indonesia are becoming increasingly attractive destinations, with competitive labour costs, improving infrastructure and strategic geographical advantages.