Largest plastic packaging company in Asia and the Pacific from Malaysia, Thong Guan Industries Bhd., is known for its innovation in the production of stretch film, eco-friendly plastic bags, and various flexible packaging solutions for the industrial and consumer sectors.

Batang, Central Java (Indonesia Window) – Largest plastic packaging company in Asia and the Pacific from Malaysia, Thong Guan Industries Bhd., has officially invested in Indonesia’s Batang Industropolis Special Economic Zone (SEZ), Central Java province, with an initial investment of 7 million US dollars.

Thong Guan Industries Bhd. is the first Malaysian investor in the Batang SEZ and will build a factory on a five-hectare plot of land to produce various plastic products such as plastic wrapping products, plastic garbage bags, and plastic film for domestic and global markets.

The Industrial Land Utilization Agreement was signed by the Managing Director of Thong Guan Industries, Dato' Ang Poon Chuan, and the President Director of the Batang Industrial Special Economic Zone, Ngurah Wirawan, witnessed by the Indonesian Consul General in Penang, Malaysia, Wanton Saragih, and a Director from the Indonesian Ministry of Investment and Downstream Industry, Saribua Siahaan, on Friday, July 25, 2025.

Wanton Saragih pointed out that the realization of this investment is a concrete result of the Indonesian Consulate General's efforts in Penang to actively promote various Indonesian investment opportunities to the Malaysian business community.

"We hope this investment will create a domino effect in the form of job creation and national economic transformation based on down-streaming and industrialization, in line with the policy of Indonesia’s President Prabowo Subianto," Wanton explained.

Ngurah Wirawan stated that Thong Guan Industries' presence in the area will further strengthen the attractiveness of the Batang SEZ to global investors, create job opportunities and technology transfer.

"Thong Guan is not an ordinary company. This is an industrial giant that has entrusted its future to Batang. This is global validation of the Batang Industrial Special Economic Zone's position as the most promising industrial area in Southeast Asia. They have chosen the right place to invest," Ngurah said.

Meanwhile, Dato' Ang Poon stated that Thong Guan's investment in the Batang SEZ aims to expand its production network in Southeast Asia and strengthen its position as a major player in the global plastic packaging business.

"The Batang SEZ offers competitive advantages in infrastructure, investment incentives, and ease of licensing that support the expansion of export-oriented industries," he noted.

Thong Guan Industries is one of the largest plastic packaging companies in Asia and the Pacific, with its branch in China.

The company, which can produce up to 150,000 tons per year and has a turnover of approximately 4.2 trillion rupiahs per year, is known for its innovation in the production of stretch film, eco-friendly plastic bags, and various flexible packaging solutions for the industrial and consumer sectors.

*1 U.S. dollar = 16,359 rupiahs

The manufacturing facility built by Thong Guan Industries in the Batang Special Economic Zone (SEZ) is expected to adopt environmentally friendly technologies, such as the use of energy-efficient machinery, plastic waste recycling, and an internationally recognized environmental management system, as part of Thong Guan's commitment to green industry practices.

Reporting by Indonesia Window