China Fortune Land Development Co., Ltd. (CFLD) announced today that its subsidiary company had signed a cooperation agreement to build Indonesia’s first International New Industrial City (NIC) with ASRI, the flagship company of Argo Manunggal Group which is renowned in the Republic of Indonesia.
Some analysts believe CFLD’s NIC plans for Indonesia is an important milestone for China's private enterprises to be part of ‘the Belt and Road strategy’. By building the international NIC and setting the stage for international cooperation in the development phase, CFLD is in a position to drive the progress of the Made in China brand to the rest of the world, and be a major player in regions future industrial upgrading and economic development projects.
As this is CFLD's first international NIC, it aims to make this project a global benchmark for global NICs. On December 28, 2015, CFLD signed a memorandum of cooperation with ASRI to jointly develop the Tangerang County area, located in the Banten Province. To accelerate the economic development and urban construction in the region, CFLD and ASRI will work together on future projects which include the development of an integrated city complex.
According to Zhao Hongjing, President CFLD International, it’s about realizing the potential of this project. "The mission of this project is to further regional economic development, promote social harmony and improve the quality of life. CFLD will be responsible for the overall development of this project and the combination of CFLD’s experience in city planning, industrial import and park operations with the advantages of working with a local partner makes this project an exciting one for both sides."
CFLD hopes that this in-depth industrial cooperation between China and Indonesia, will pave the way for other Chinese enterprises to follow its lead, and contribute to the development of Indonesia's industrialization and urbanization plans.
The Belt and Road strategy, is a development strategy and framework, that focuses on connectivity and cooperation among countries primarily between China and the rest of Eurasia, which consists of two main components, the land-based "Silk Road Economic Belt" (SREB) and oceangoing "Maritime Silk Road" (MSR). The strategy underlines China's push to take a bigger role in Sino-foreign cooperation in production.
As a leading enterprise in China's NIC industry, CFLD hopes that by investing in the construction and the joint development of this international NIC, it serves as a conduit for other Chinese enterprises to follow suit and contribute to the implementation of ‘the Belt and Road’ strategy.
Some analysts believe that this joint venture between ASRI will help CFLD promote the construction of local infrastructure and modern industrial clusters. This international NIC will serve as a blueprint for other industrial joint ventures, providing Chinese enterprises, looking to invest in Indonesia, an avenue to offer comprehensive one-stop solutions and services.