President Joko Widodo conducted a soft launching of the Patimban International Port in Subang, West Java, on Sunday (20/12) - Photo by President Office

JAKARTA (TheInsiderStories) – President Joko Widodo conducted a soft launching of the Patimban International Port in Subang, West Java, on Sunday (20/12). Marking the first operation of the Patimban International Port, the first export of vehicles totaling 140 cars from Toyota, Daihatsu, Suzuki to Brunei Darussalam.

The port that is being operated is the result of phase I construction and ready to serve containers with a capacity of 3.75 million TEUs. In detail, the car terminal’ capacity is 218,000 cars and later it will be 600,000 vehicles and will increase the our automotive exports to the global market, said the head of state.

Minister of transportation, Budi Karya Sumadi, reported the construction one of the National Strategic Projects covering of 25 hectares of areas. Then, Phase II, covering 66 hectares of areas, will be built an additional car terminal with a capacity of 600,000 motorized vehicles starting 2021 to 2024.

Furthermore, in 2024 – 2025, a container terminal will be built with a cumulative cargo capacity of 5.5 million TEUs. The final phase in 2026 – 2027, the construction will be carried out in the form of a container terminal with a cumulated capacity of 7.5 TEUs and 600,000 CBUs.

“In the future, Patimban will be synergized with Tanjung Priok Port, so that it can improve time efficiency and national logistics costs. Its hoped that it will increase the potential for the development of 10 priority industrial areas along the northern corridor of Java so that the economy will increase and provide broad benefits to the community,” said the minister.

Sumadi also reported, that non-toll road access to the port has been done and is almost complete. The cost will be Rp1.12 trillion ($79.43 million) with total length of the access road is 8.2 kilometers (Km), consisting of 7.5 Km of the elevated road and 0.7 Km of grade. The ministry has selected Japan’ Penta-Ocean Construction, TOA, Rinkai Nissan Construction, and Indonesia’s PT Wijaya Karya Tbk (IDX: WIKA), and PT PP Tbk (IDX: PTPP) to build the project.

Patimban Port was set to reduce heavy congestion at Tanjung Priok Port in North Jakarta that now shoulders most of the international trading activities. The project is part of President Joko Widodo’ infrastructure push to boost connectivity in the world’ largest archipelago of more than 17,000 islands, where logistics costs are high, and also an attempt to make the country a rival to Singapore as a transshipment hub.

So far, Indonesia has received JPY118.9 billion ($1.13 billion) loans from Japan or around 83 percent of the total costs of the first stage of the port. The project construction need a total investment up to Rp50 trillion.

US$1: Rp14,100, JPY105.34

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