Shipbuilding industry in Batam sees record-breaking export growth, boosting regional economy and employment.
Batam’s shipyard industry is experiencing an unprecedented boom, with ship exports skyrocketing by 2,031.98% in January 2025, according to data from Badan Pusat Statistik (BPS) Batam. The sharp rise marks a significant milestone in the city’s post-pandemic economic recovery, fueled by increasing orders for topside ship construction and expanding international demand.
The shipbuilding industry in Batam has been a cornerstone of the city’s economy, providing jobs and contributing significantly to national exports. With topside ship structures seeing higher demand, industry experts believe that Batam is poised to become a regional leader in maritime manufacturing.
Data from BPS Batam reveals a month-on-month (mtm) export increase of 2,031.98% and a year-on-year (yoy) increase of 4,862.10% for ship exports. In January 2025, the export value of ship-related products (HS 89) reached USD 491.74 million, a significant jump from USD 23.06 million in December 2024.
The Chairman of Batam Shipyard Offshore Association (BSOA), Novi Hasni, stated that the upward trend in shipbuilding started in 2023, recovering from the pandemic. However, he noted that Batam’s market still primarily serves domestic needs, with some exports reaching international markets.
“The high export figures are likely driven by the increasing demand for topside ship constructions,” said Novi, referring to critical ship components such as deck facilities and offshore modules.
Key Players and Workforce Availability
Several companies in Batam specialize in topside construction, including McDermott, SMOE, and other major shipyard firms. These companies have played a crucial role in revitalizing the industry and meeting the growing international demand.
Novi also highlighted improvements in workforce availability, as skilled labor shortages after the pandemic had previously slowed production. “Many skilled workers, including welders, had moved to East Asia and Vietnam, where shipyard industries were also booming. But now, Batam’s workforce is well-equipped due to extensive training programs,” he explained.
Batam’s Export Landscape: Key Sectors and Destinations
In January 2025, Batam’s total export value reached USD 1.775 billion, with non-oil and gas (nonmigas) exports accounting for USD 1.702 billion, a 34.74% increase from December 2024.
According to Eko Apriyanto, Head of BPS Batam, nonmigas exports were dominated by:
- Electrical machinery and equipment: USD 627.71 million
- Ship exports: USD 491.74 million
- Iron and steel products: USD 147.44 million
The top export destinations included:
- Saudi Arabia: USD 498.18 million
- United States: USD 320.30 million
- Singapore: USD 320.30 million
- China: USD 90.25 million
With soaring ship exports and expanding offshore construction, Batam is solidifying its position as a leading maritime hub in the region. Industry experts predict that continued investment in shipbuilding infrastructure and workforce development will further strengthen Batam’s role in global maritime trade.
Sources: Bisnis Indonesia (2025), Gokepri (2025)
Keywords: Batam, Shipyard Industry, Export Growth, Economic Development, Manufacturing Sector, BPS Batam, Offshore Construction, Maritime Trade
