In response to government's new Southward policy, Sinotech's Chairman Tseng visited Indonesia in mid-July 2017, actively developing the new Southward engineering businesses.
Sinotech Group has been developing overseas since 1973 and set up a Jakarta office in 1976 to provide engineering consultancy services in Indonesia. Early on, the focus was mostly on irrigation projects funded by ADB and World Bank's loans, gradually developing into urban drainage (flood control), sewage, tap water, and power system, etc. In recent years, Sinotech's overseas business has accounted for more than 8% of its revenue, and the company has become the leader among Taiwanese engineering consulting business in Indonesia.
Indonesia has the fourth largest population in the world, with abundant natural resources but relatively underdeveloped infrastructure. Since President Joko Widodo took office in 2014, he has made every effort to develop infrastructure. At present, roads, railways, and mass rapid transit are under construction in the capital Jakarta. However, its population growth is much faster than its neighbors. The World Bank forecasted in July 2017 that the demand for infrastructure in Indonesia will continue to rise rapidly. In view of this, Sinotech Group formed a joint venture with Sinotech Engineering in Indonesia with local businesses in 2015 to participate in business opportunities of Indonesia's private sector.
In addition to inspecting Sinotech Group's local offices and business plans in Indonesia, Chairman Tseng personally visited relevant water resources officials in Indonesia, high-quality local, Taiwanese, and Japanese partners, etc., actively marketing Taiwan's professional experience and Sinotech Group's quality professional services. By networking through Asian Institute of Technology Alumni Association and National Cheng Kung University Alumni Association, robust interactions with major local Chinese businesses were created. In the future, it will collaborate to expand its engineering business in Indonesia and neighboring countries.