The Progressive Effort to Expand Direct Export, Bypassing Singapore

The Indonesian government is exploring launching new direct export shipping routes to China, also known as "direct call." Coordinating Maritime Affairs and Investment Minister Luhut Pandjaitan revealed that one of the new routes will connect Medan and Ningbo. He explained that the purpose of this new route is to ensure that Indonesia does not merely act as a feeder in shipping traffic. "We don't want to be just feeders; we must be able to export directly," he said, as quoted from his Instagram account @luhut.pandjaitan on Tuesday, Mar. 23.

Luhut stated that this initiative is one of the outcomes of the fourth Indonesia-China High-Level Dialogue and Cooperation Mechanism held in Labuan Bajo, West Nusa Tenggara, on Apr. 19. Discussions between Indonesian ministers and China's Foreign Minister Wang Yi focused on opening a new shipping route that would allow containers to be sent directly from Kuala Tanjung Port in Medan to Ningbo. Luhut claimed that the Medan-Ningbo shipping route would bolster Indonesia's independence and reduce its reliance on Singapore.