China and Japan Revive Rivalry Over Jakarta–Surabaya Rail Megaproject
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JAKARTA, Investortrust.id — Indonesia is reviewing proposals from China and Japan to extend the Jakarta–Bandung high-speed rail line to Surabaya, with each country offering a different route and technology concept. The final decision will depend on ongoing feasibility studies and inter-ministerial coordination, Transport Minister Dudy Purwagandhi said.
“Well, we need to assess them one by one to determine which offers the best value for us in choosing the train to Surabaya—whether it should be semi or high speed,” Dudy said at a media gathering in Jakarta on Thursday, Aug. 14, 2025.
China’s High-Speed Proposal vs Japan’s Semi High-Speed Plan
According to Dudy, the two countries involved in the review are China and Japan. China, through PT Kereta Cepat Indonesia China (KCIC), is assessing a possible extension route beyond Tegalluar Station in Bandung, West Java.
Meanwhile, Japan is offering a semi-high-speed train concept, which is still in the feasibility study phase.
“In our recent discussion with the Coordinating Minister for Infrastructure and Regional Development [AHY], we added several options, namely a high-speed rail line and the semi-high-speed operation proposed by Japan,” Dudy explained. “So we will review both high-speed and semi-high-speed train options. If we choose the high-speed option, we will also need to determine which corridor it will follow—north, south, or central.”
The choice of corridor will significantly impact construction costs, speed, and economic viability.
Coordinating Task Force Transfer Requested
Dudy further disclosed that a letter has been submitted to President Prabowo Subianto to transfer the High-Speed Rail Task Force from the Coordinating Ministry for Maritime and Investment Affairs to the newly established Coordinating Ministry for Infrastructure and Regional Development.
“This has already been submitted to the president. The hope is that approval will be granted, as this is also one of China’s requests for improving coordination speed,” he added.
Reigniting a Longstanding Rivalry
This development marks a continuation of the rivalry between China and Japan in Indonesia’s railway sector. In 2015, China won the Jakarta–Bandung high-speed rail contract, beating Japan by offering a more favorable financing scheme without requiring Indonesian state guarantees.
Now, both countries are back in competition—China seeking to expand its Belt and Road Initiative through KCIC, while Japan returns with a more moderate, potentially lower-cost alternative.
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