Why Batam - Tembesi Innovation District

Singapore Plus One. Globally Connected. Investor Ready.

Batam, the largest city in Indonesia's Riau Islands province, is a strategically located Free-trade Zone (FTZ), 20-kilometre southeast of Singapore, positioned on key international shipping routes between the Indian and Pacific Oceans.

Main Industries

Manufacturing, oil & gas, shipyard

Well Connected

Proximity to Singapore & Malaysia as a
transhipment hub

Population

1.28 million in 2024 based on BPS-Statistics Indonesia's study

Cost-competitive

Cost-competitive labour and utilities

Free-trade zone

Free-trade zone for import/export operations

Economy

GRDP growth of Batam is 6.69% in 2024

Nongsapura
Ferry Terminal

Batam Centre
Ferry Terminal

Harbour Bay
Ferry Terminal

Batu Ampar
Container Port

Sekupang Ferry Terminal
& Container Port

Waterfront
Ferry Terminal

Strategic Location

The Tembesi Innovation District is situated in the heart of Batam, with direct access to:

Hang Nadim International Airport

25 minutes away

Batam Center Ferry Terminal

20 minutes away

Batu Ampar Port Container

30 minutes away

Multiple Ferry Terminals Connecting to

Singapore & Malaysia

A Strategic Address with FTZ Incentives

Batam is part of Indonesia's Free Trade Zone, offering:

Import duty exemptions

VAT & luxury tax exemptions

Tax Holiday incentives for qualifying investments

Double taxation avoidance agreements with 70+ countries

Industrial Ecosystem

Existing Industrial Sectors & Supply Chains in Batam:

Electronics and electrical components

Rubber and plastic products

Biological and pharmaceutical products

Precision Engineering

Semiconductors

Renewables

Digital technology

Aerospace and logistics

Competitive Labour and Utility Costs

Batam offers a combination of skilled workforce and competitive operational costs, making it an ideal location for manufacturing and service operations.

Lower labour and utility costs compared to neighboring countries

Technical and vocational training institutions

Multilingual workforce with international experience

Built by Industry Leaders

Panbil Group brings decades of experience in Batam's industrial transformation, with a strong track record in integrated township development and infrastructure delivery.

Partnering with Sembcorp Development, a regional leader with over 30 years of experience in large-scale industrial and urban projects across Asia, the Tembesi Innovation District is backed by a powerful combination of local expertise and international credibility.

Ready to move your business forward? Let's talk.

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