Bridges Beyond Borders

Korea Herald

25-06-2025

BEIJING, June 25, 2025 /PRNewswire/ -- A report from China Report ASEAN:
On April 12, a 200-kilogram shipment of fresh coconuts departed from Jakarta, Indonesia, bound for Changle Airport in Fuzhou, southeast China's Fujian Province. After customs inspection, the coconuts were promptly transported to the Yuanhong Investment Zone, the Chinese side of the China-Indonesia "Two Countries, Twin Parks" project. This marked the first import order following China's General Administration of Customs announced that it would allow imports of fresh coconuts from Indonesia that meet relevant requirements in November 2024. The coconuts would undergo deep processing at the China-Indonesia Coconut Industrial Park in Yuanhong and be made into products such as coconut milk, coconut oil, and coconut beverages for distribution across China.
Indonesia is the world's largest grower and producer of coconuts, with an output of 17.88 million tons in 2024. Meanwhile, China's coconut market holds enormous potential, as demand for products like coconut water and fresh coconut lattes has surged in recent years, particularly among younger consumers.
The first shipment of fresh coconuts from Indonesia was imported by Fujian Miaotianhui Food Co., Ltd. At the customs site, business manager Lin Zhengrong noted that the coconuts had been harvested just the morning before from trees on Indonesia's Sumatra Island. The region's volcanic soil and rainforest ecosystem give the coconuts a sweet, abundant juice, making them ideal for both direct consumption and as premium food ingredients.
The launch of fresh coconut trade between China and Indonesia marked a breakthrough in tropical agricultural cooperation and provide domestic consumers with a richer consumer experience, said Lin Zhengrong. He noted the tangible benefits brought by the "Two Countries, Twin Parks" project such as streamlined approvals handled collectively by the park and expedited customs clearance through a "green channel," saving significant time for businesses.
Thanks to trade facilitation under the Belt and Road Initiative (BRI) and deepening cooperation under the "Two Countries, Twin Parks" model, the company plans to regularly import Indonesian coconuts in large volumes and build a comprehensive and integrated production line within the park.
Currently, four production lines in the China-Indonesia Coconut Industrial Park have been put into operation, and a transnational industrial cluster that spans the entire value chain from primary to deep processing is taking shape.
The China-Indonesia "Two Countries, Twin Parks" project was first proposed by the government of Fujian Province in 2019. This innovative model of capacity cooperation involves two sovereign nations establishing industrial parks within each other's borders to promote coordinated development. The concept was pioneered in 2012 with the China-Malaysia Qinzhou Industrial Park in Guangxi Zhuang Autonomous Region, China, and the Malaysia-China Kuantan Industrial Park in Kuantan, Malaysia.
"As a latecomer, the China-Indonesia twin parks have been learning from the China-Malaysia experience while also charting their own course based on distinct resource endowments and development paths," said Zhou Qingning from the Administrative Committee of Yuanhong Investment Zone.
China's first cooperative development zone built with overseas Chinese investment, Yuanhong Investment Zone has played a pivotal role in advancing the China-Indonesia "Two Countries, Twin Parks" project. Leveraging the strength of Indonesian Chinese enterprises and the region's expertise in food processing, Yuanhong had already developed a diversified industrial system centered on grain, oil, and food products, with textiles and synthetic fibers as complementary sectors.
In 2021, representatives from both governments signed a memorandum of cooperation for the project. China designated Yuanhong Investment Zone in Fuzhou, Fujian Province, as the Chinese park, and Indonesian authorities selected the Bintan Industrial Estate, Aviarna Industrial Estate, and Batang Industrial Estate collectively as the Indonesian park.
In January 2023, the State Council of China approved the establishment of a China-Indonesia joint demonstration zone for economic innovative development in Fuzhou, marking the transition of the Twin Parks initiative into full-scale implementation.
Today, Chinese and Indonesian enterprises are leveraging the Twin Parks project to explore deeply integrated models of international division of labor and cooperation, giving rise to a "Two Countries, Twin Factories" approach that aligns with China's dual-circulation development strategy.
For example, the Salim Group, Indonesia's biggest conglomerate, is partnering with China's Saneheld (Fuqing) Food Co., Ltd. to build a global fishery center. With a total investment of 5 billion yuan (US$684.93 million), the project includes two fishery bases in Tuban on the north coast of Java. The first was established in March 2022, and construction of the second base, covering about 4 hectares, began in January 2024, with trial production slated for December 2026.
Zhaohua Aquatic Food Co., Ltd. in Fuqing City is collaborating with an aquatic products company from Indonesia to develop a shrimp farming base under the Zhaohua brand, with a total investment of 300 million yuan (US$41.16 million). The farming and primary processing projects of the base have already been launched in Indonesia, the third-phase farming project is underway, and negotiations are ongoing for an advanced processing line.
Fujian Miaotianhui Food Co., Ltd. is another shining example of "Two Countries, Twin Factories" cooperation. Its core management team has been engaged in seafood processing, trade, and export since the 1990s. The company operates aquaculture bases in Indonesia, with products shipped to China for processing and then distributed through a global network to over 60 countries and regions.
While food processing remains a pillar industry with deep roots and clear advantages, the industrial development blueprint for the China-Indonesia "Two Countries, Twin Parks" initiative reaches well beyond this single sector. According to the China-Indonesia "Two Countries, Twin Parks" Industrial Cooperation Plan released in 2022, industrial parks should focus on building five major cross-border industrial chains, namely marine fisheries, tropical agriculture, light industry and textiles, machinery and electronics, and green mining. The goal is to foster deep integration of industrial, supply, and value chains across borders.
Data from the Yuanhong Investment Zone showed that by 2024, 73 bilateral cooperation projects had been launched under the project, with a total investment of approximately 93 billion yuan (US$12.76 billion).
The China-Indonesia "Two Countries, Twin Parks" project has been included in several national plans including the National Development and Reform Commission's list of key overseas projects under the BRI and the Ministry of Commerce's business development plan for the 14th Five-Year Plan period and high-quality development plan for foreign trade. Inspired by this cooperation model, other cities in Fujian including Zhangzhou and Longyan are also advancing construction of similar "Two Countries, Twin Parks" partnerships with the Philippines and Serbia.