inp.polri.go.id - Jakarta. Vice Minister of Communication and Digital Affairs, Nezar Patria, revealed Indonesia's significant potential to enter the rapidly growing global artificial intelligence (AI) industry supply chain.
"We are the world's largest tin producer. Tin is a key ingredient in the chip manufacturing process," said the Vice Minister on Thursday (5/7/2026).
In addition to tin, Indonesia also has reserves of silica sand containing silicon, a key raw material in semiconductor manufacturing. However, according to Nezar, Indonesia is currently limited to a raw material supplier and is unable to process it to meet the needs of the global technology industry.
Therefore, he emphasized the importance of improving downstreaming and resource processing capabilities so that Indonesia can play a strategic role in the global AI industry supply chain.
Nezar also believes that Indonesia has an energy advantage to support the development of AI data centers.
In addition to natural resources and energy, Indonesia is considered to have a significant demographic bonus to support the AI industry. With a population of around 285 million and an average age of 30, Indonesia is considered to have strong human resource potential.
To support this, the Ministry of Communication and Digital is running the AI Talent Factory program to increase the capacity of digital talent in the AI field.
"We are trying to gather the best talent from universities, then we will provide basic to advanced programs on how to provide AI solutions," said Nezar.
He is optimistic that with the right strategy and the support of existing resources, Indonesia can become a significant player in the global AI industry supply chain.
"There's no need to fear that AI will replace humans, but rather how it can become a companion in the work we do," concluded Nezar.
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