The Indonesian government decided to resume imports of used Japanese railcars, accelerating the restructuring of state-owned companies surrounding INKA. KAI is proceeding with the acquisition of INKA, with plans emerging to begin operations under the new structure in 2027.
The Prabowo administration decided to place the construction debt for the Jakarta-Bandung high-speed railway under government control. After the Minister of Finance was dismissed, permits to import used railcars were considered as part of efforts to promote domestic industry. In the cabinet reshuffle on 1 October, the Minister of Industry, who had consistently opposed imports of used railcars, was dismissed, prompting discussion of a resumption of imports as a temporary measure.
The acquisition of INKA is currently under way. KAI began the acquisition process in July and plans to complete it by the end of the year, beginning operations under the new structure in 2027. After the acquisition, KAI will become the holding company and INKA will become a subsidiary, allowing funds to be transferred between the two companies. A proposal has also emerged for Danantara Indonesia to consider assuming approximately 4.7 trillion rupiah in excess debt.
Following the acquisition of INKA, KAI will be able to operate an integrated structure covering everything from operations to rolling-stock manufacturing, and its sales and profit scale is expected to grow steadily in 2025. The timing of InnoTrans Asia, to be held in Singapore in 2027, has been cited as an event to watch, with KAI seeking to raise its profile in Indonesia’s railway sector through the group structure.