Why Indonesia Is Missing Out as Companies Move Out of China

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Indonesia is Southeast Asia’s biggest economy, with one of the biggest labor pools in the world. But it punches beneath its weight when it comes to attracting foreign investment. As companies increasingly look to move production out of China to avoid U.S. tariffs, they are largely bypassing Indonesia in favor of nimbler neighbors such as Vietnam and Thailand. President Joko Widodo used his first term to improve infrastructure. Newly sworn-in for a second, he’s renewing efforts to clear bureaucratic and regulatory roadblocks to make the country more investor-friendly and create new jobs. That won’t be easy in a slowing economy and a deteriorating global landscape.