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Indonesia in Talks with China, Russia for Kalimantan Rail

Celvin Moniaga Sipahutar
August 7, 2026 | 9:57 am
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A fuel tank train leaves Surabaya Gubeng station on July 21, 2026. (Antara Photo/Didik Suhartono)
A fuel tank train leaves Surabaya Gubeng station on July 21, 2026. (Antara Photo/Didik Suhartono)

Jakarta. Indonesia has entered into talks with Russian and Chinese investors for the development of a railway network across Kalimantan.

President Prabowo Subianto has ordered the Transport Ministry and the state-owned railway company KAI to immediately get to work on the Trans-Kalimantan project. The resource-rich island to this day has no operational railway network, meaning that the development has to start from scratch.

"We have already discussed with KAI, who has come up with a roadmap. From there, we expect investments, be it from home and abroad," Transport Minister Dudy Purwagandhi said in Jakarta on Thursday.

He went on to say that "China and Russia have shown interest in the Trans-Kalimantan project".

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"Communication with the foreign investors has been established. They are currently crunching the numbers and will subsequently submit proposals to us," Dudy said.

A Trans-Sumatra rail network is also in the pipeline. It will connect Lampung's Bakauheni and the northernmost part of Sumatra. Dudy signaled that work might be easier in the Trans-Sumatra project, citing that the region already has an existing railway. Asked which project will start first, Dudy responded that it would depend on the investors.

Government data showed Chinese investments had totaled at least $3.9 billion this year. Hong Kong contributed to around $7.6 billion, while Russian investments amounted to almost $100 million.

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