South Korea’s Dongsung Chemical has officially opened its new polyurethane plant in Karawang, West Java, marking a major step in its global expansion. This move underlines the growing confidence that international companies have in Indonesia’s industrial sector, especially in advanced production and exports.
The plant was inaugurated on April 30, 2025, by Rosan Perkasa Roeslani, who serves as both the Minister of Investment and the Head of the Investment Coordinating Board. He said the launch reflects Indonesia’s rising importance as a manufacturing base in the global economy. Rosan also pointed out that projects like this play a key role in creating jobs and attracting more international trade to the country.
Built on 82 thousand square meters of land with 23 thousand square meters of production space, this facility is now the company’s largest anywhere in the world, even bigger than its factories in South Korea. The factory will manufacture a range of polyurethane materials used across various sectors such as vehicles, furniture, shoes, and construction. Products will include cushioning for car seats, adhesives, mattress foam, waterproofing materials, and other essential industrial goods.
Chairman Baek Jeong ho shared that this site represents a long term plan to grow Dongsung’s presence globally. He explained that Indonesia was selected for its strong market prospects, location, and supportive investment environment. This factory is expected to serve not only Southeast Asian markets but also regions in Latin America and Europe.
During the first quarter of 2025, South Korea ranked seventh in terms of foreign direct investment in Indonesia, with over 683 million United States dollars invested. From 2020 to 2024, the total amount reached more than 11 billion dollars, spread across sectors including manufacturing and technology.
Minister Rosan also stated that under President Prabowo Subianto, Indonesia is welcoming strategic investments that align with national goals like boosting local industries and generating skilled jobs. He stressed that factories like Dongsung’s help Indonesia move toward a more modern and value driven economy.
With this new facility, Dongsung Chemical has taken a strong step in expanding its footprint in Asia while helping Indonesia grow into a more influential player in international manufacturing and trade.