Prabowo Cracks Down on Illegal Mining, Targets Rp 22 Trillion in Savings and Rare Earth Recovery

JAKARTA, Investortrust.id — President Prabowo Subianto has launched a sweeping crackdown on illegal mining across Indonesia, beginning with the closure of 1,000 unauthorized tin operations in Bangka Belitung on Monday, Sept. 29, 2025. The campaign, supported by the military, police, and customs authorities, seeks to stop rampant smuggling that drains state revenue, unlock the value of overlooked rare earth minerals, and enforce constitutional mandates requiring natural resources to serve the people.

Prabowo said 80 percent of tin mined in Bangka Belitung was smuggled abroad through small boats, ferries, and other covert means. He emphasized that starting Sept. 1, a coordinated operation had been launched to end the practice, with enforcement actions scheduled to run through December 2025.

"We estimate that between September and December we can save Rp 22 trillion, and next year the figure could reach Rp 45 trillion from these two islands alone," Prabowo said in his address.

The president added that beyond tin smuggling, the discovery of rare earth minerals in mining byproducts highlighted an even more significant issue. These minerals, essential for advanced technologies such as electric vehicles, wind turbines, and semiconductors, have been overlooked as mere waste material.

"The residue from tin mining actually contains rare earth minerals of very high value. Perhaps our officials did not realize this, thinking it was just waste," Prabowo noted. He ordered Customs to recruit chemical experts capable of identifying and extracting such minerals from tin tailings, and he warned that similar hidden wealth may exist in nickel, coal, and bauxite operations, many of which are also riddled with illegal practices.

Prabowo stressed that illegal mining not only drains public finances but also undermines Indonesia’s long-term prosperity. "This is promising. If we enforce the law properly, state revenues will grow, leakages will stop, and Indonesia will become more prosperous," he said.

Parliamentary Support

Members of the House of Representatives quickly rallied behind the president’s directive. Jamaludin Malik, a lawmaker from the Golkar Party and member of the House's Commission XII, which oversees industry, MSMEs, creative economy, tourism, and uublic communication, said illegal mining inflicted a dual blow on the nation by damaging both state finances and the environment.

“President Prabowo’s decision to enforce the law against illegal mining is the right step. Parliament will stand behind the government to ensure this policy is effective,” Jamaludin stated in Jakarta on Monday.

He cited data indicating that between 2015 and 2022, losses from illegal tin mining alone amounted to Rp 300 trillion, of which Rp 271 trillion was due to environmental destruction. In West Kalimantan, a single case of illegal gold mining caused losses of Rp 1.02 trillion. Nationwide, total losses from illegal mining were estimated at Rp 300 trillion annually.

Jamaludin emphasized that uncompromising law enforcement must include asset seizures to reclaim control over resource-rich lands. “We must ensure that national mining governance is transparent, lawful, and benefits the people. Asset confiscation from illegal operators is essential,” he added.

A Broader Vision

The crackdown forms part of Prabowo’s broader agenda to tighten resource governance and fulfill the constitutional mandate that Indonesia’s natural wealth must serve the people.

During his remarks at the party congress, the president underlined that only with clean government and firm control over resources could Indonesia achieve its goal of becoming a prosperous nation.

“The constitution and our founding fathers commanded that the land, the water, and all natural wealth contained within must be controlled by the state and used for the benefit of the people,” Prabowo said.

As Indonesia marks its 80th year of independence, Prabowo expressed confidence that the country could strengthen its economic foundations by ending systemic leakages, eliminating corruption, and redirecting natural resource wealth toward national development.