BP Batam Expands Tin Downstream Processing Into Electronics

RRI.CO.ID, Jakarta – Tin downstream processing in Batam, Riau Islands, is beginning to expand into the electronics industry, with derivative products designed to strengthen the high‑tech manufacturing supply chain.

Deputy Head of Public Services at the Batam Indonesia Free Zone Authority (BP Batam), Ariastuty Sirait, said the development of solder paste by PT Solder Team Andalan Indonesia (STANIA), in collaboration with Asahi Solder, could increase the added value of tin as a commodity. Solder paste is used in the assembly of electronic components.

“We see that tin downstream processing no longer stops at raw materials but has moved into the stage of processing into products needed by industry,” Ariastuty said in Batam on Friday, September 11, 2026, as quoted by Antara.

She estimates that solder product exports could exceed 100 metric tons by 2027. “We anticipate that economic growth will continue to advance and accelerate, and that Batam will see greater diversification in the products manufactured here,” she said.

According to her, tin raw materials are sourced from outside Batam, processed locally, and then re‑exported. This scheme is part of downstream industrialization efforts that link mineral commodities with the processing industry.

President Director of Arsari Tambang and Vice President Director of Arsari Group, Aryo Djojohadikusumo, said the development of solder is crucial for building a domestic electronics supply chain, especially as demand grows alongside the expansion of the artificial intelligence (AI) industry.

“This year, we are also building Indonesia’s first factory for assembling GPUs (Graphics Processing Units) to meet demand from our partners, such as Nvidia and AMD,” Aryo said.

He explained that the AI ecosystem requires computing power, connectivity, and supporting industries and supply chains. The partnership with Asahi Solder is expected to accelerate the development of this ecosystem, as the company has international expertise in soldering and electronic interconnect materials.

“It is time for Indonesia to no longer rely on global market prices, but to build its own ecosystem so that we can capture the added value from all of Indonesia’s mining products,” Aryo said.

The development of tin‑based solder positions Batam at the intersection of mineral downstream processing and the technology industry. This step has the potential to increase domestic value‑added while reducing Indonesia’s dependence on the global electronics supply chain. ***