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AI Could Transform Indonesia's Mining Industry, Industry Leaders Say

The Jakarta Globe
July 1, 2026 | 10:07 pm
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Andy Wu, president of Huawei's Mining Business Unit. (Huawei via JG)
Andy Wu, president of Huawei's Mining Business Unit. (Huawei via JG)

Jakarta. Artificial intelligence is expected to play an increasingly important role in strengthening the competitiveness of Indonesia's mining industry, with industry leaders saying AI-powered technologies can improve productivity, enhance workplace safety, reduce operating costs, and support the sector's transition toward more sustainable operations.

The opportunities and challenges of digital transformation in mining were discussed at the Indonesia-China Coal & Energy Conference 2026, where executives from Huawei Technologies and Yunding Technology said Indonesia is well-positioned to accelerate AI adoption thanks to the vast amount of operational data accumulated by its mining companies.

Indonesia is one of the world's largest coal producers, and the mining sector has become a key target for digital transformation as operators seek to improve efficiency while responding to rising production costs, stricter environmental standards, and growing workplace safety requirements.

Andy Wu, president of Huawei's Mining Business Unit, said many Indonesian mining companies already possess more than a decade of operational data -- an essential foundation for developing AI applications.

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“AI relies on data,” Wu said. “Many mining companies already have more than 10 years of operational data. That provides the basis for developing AI solutions that improve efficiency while helping companies manage operational risks.”

Beyond raising productivity, AI can significantly improve workplace safety by enabling faster, data-driven decision-making and monitoring operational conditions in real time, he said.

Wu added that the current business environment makes investment in AI increasingly attractive as mining companies face mounting cost pressures.

“Now is the right time for Indonesia. The industry needs mature technologies that can help reduce costs,” he said.

Liu Bo, president of Yunding Technology, described Indonesia as one of the world's most important coal-producing countries and said its mining industry is entering a new phase in which growth will increasingly depend on digital innovation rather than production scale alone.

He said AI can deliver value in three critical areas: improving worker safety through intelligent monitoring of personnel, equipment, and operating environments; optimizing production processes to increase efficiency; and strengthening compliance with safety standards and government regulations.

According to Liu, broader adoption of smart mining technologies will also support Indonesia's environmental objectives by making mining operations cleaner and more resource-efficient.

“Smart mining represents the future of green mining,” he said.

Both executives stressed that technological innovation alone would not be enough to transform the industry. They called for closer collaboration among mining companies, technology providers, universities, government agencies, industry associations, and local partners to build a sustainable digital ecosystem.

Huawei said it plans to expand AI training programs for students, engineers, and industry professionals while strengthening partnerships with Indonesian universities to help develop the country's digital talent.

Yunding, meanwhile, said its Indonesian operations would comply with local regulations governing data storage, processing, and governance while prioritizing partnerships with domestic mining companies and suppliers.

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