1 / Q1_2012

AHK Indonesia / EKONID

Profile of the German Chamber of Commerce & Industry

in Indonesia

2 / Q1_2012

AHK – The first address on foreign markets

EKONID is one of 126 German Chambers of Commerce worldwide

3 / Q1_2012

DIHKBerlin

IHK’s90 offices

in Germany

German Companiesmembership is mandatory

by law

AHK’s130 officesWorldwide

Bilateral CompanyMembership is

voluntary

Structure of the organization

4 / Q1_2012

… as an instrument ofGerman export business assistance

service provider

Services charges

companies

consultative

individual consultingand support

members assiociation

membership fees

members

decisive

function

source of income

clients

role of board

task representation of members interests

representation of German industry

governmental subsidy

Ministry of Economics & Energy, Associations

consultative

Support bilateraleconomic relations

Structure & Function

DE international is the service brand

of AHKs

5 / Q1_2012

- Events- Website

- PR & Design Service- Sponsoring- Recruiting

- Delegation- Government Supported Projects

- Networking - Lobbying

MembershipMember Events Networking & Lobbying

Official DelegationTrade & Investment PromotionBusiness & Legal Advice

ServicesMarket Access, Trade FairsDesign & Communication

D

A

B

C

Activities

D

A

C B

6 / Q1_2012

• the official trade and investment promotion institution of the German government, representing the Ministry of Economics & Energy

• an organisation of the Indonesian and German business community, representing their interests towards ministries and other government agencies

• actively operating in the economic, social and educational sector in Indonesia and ASEAN

• provider of a wide range of market entry services

EKONID is:

7 / Q1_2012

Gate to European Countries

8 / Q1_2012

Gate to European Countries

9 / Q1_2012

Germany is the largest market in Europe. It constitutes 21 percent of Europe's GDP (EU-28) and is home to 16 percent of the total European Union (EU) population. The German economy is both highly industrialized and diversified – with equal focus placed on services and production.

2009 2010 2011 2012 2013

GDP (current bio US$) 3,298 3,304 3,628 3,425 3,634

Imports (%of GDP) 38 42 45 46 45

Exports (%of GDP) 42 48 51 52 51

Foreign direct investment, net inflows (BoP, current US$) 37,770,149,440 35,259,759,429 44,678,217,260 34,707,203,977 32,627,493,896

Rail lines (total route-km) 33,706 33,708 33,576 33,509

Source : Worldbank

10 / Q1_2012

Imports from Germany to Indonesia (in billion USD)

2009 2010 2011 2012 20131000

1500

2000

2500

3000

3500

4000

4500

5000

2,4

3,03,4

4,24,6

11 / Q1_2012

12 / Q1_2012

Key Driver: The Manufacturing Industry• Almost 10 percent of Europe's manufacturing companies are German.

• They generate 30 percent of the EU's gross value added in manufacturing alone.

• In fact, they represent more than one fifth of all of Germany's value added – one of

the highest shares in Europe.

• Increasingly more foreign companies are placing their faith in Germany as an

essential location for production sites and are benefiting from the country's excellent

business framework and superior productivity rates

13 / Q1_2012

Economic Backbone: Small and Medium-Sized Enterprises

Source : GTAI 2014

14 / Q1_2012 Source : Renewable Energy Policy Network for the 21st Century

15 / Q1_2012

16 / Q1_2012

• According to official figures, some 377,000 people in Germany were employed in the

renewable energy sector in 2012, especially in small and medium-sized companies. Of these

jobs, 268,000 exist as a direct result of the German Renewable Energy Act

• This is an increase of around 8% compared to 2009 (around 339,500 jobs), and well over

twice the number of jobs in 2004 (160,500). About two-thirds of these jobs are attributed to

the Renewable Energy Sources Act

• In the first half of 2014, 28.5% of Germany's electricity was produced from renewable sources

(up from 23.4% in 2013).

• Germany is third after China and the U.S., the world’s top renewable energy economies, as

measured by investment in the renewable energy sector

Brief fact about Germany Renewable Energy

17 / Q1_2012

Government policy• People who produce renewable energy can sell their 'product' at fixed prices for a period of 20 or 15 years.

This has created a surge in the production of renewable energy. In 2012, Siemens estimated the total cost of renewable energy would come to at least €1.4 trillion (us$1.8 trillion) by 2030.

• For the 2011–2014 period, the federal government set aside 3.5 billion Euros for scientific research in the country. additionally, in 2001 a law was passed requiring the closing of all nuclear power plants within a period of 32 years. The shutdown time was extended to 2040 by a new government in 2010. After the fukushima incident, the law was abrogated and the end of nuclear energy was set to 2022.

• The German energy policy is framed within the European Union, and the march 2007European counsil in Brussels approved a mandatory energy plan that requires a 20% reduction of carbon dioxide emissions before the year 2020 and the consumption of renewable energies to be 20% of total eu consumption (compared to 7% in 2006). the accord indirectly acknowledged the role of Nuclear energy— which is not commonly regarded as renewable, but emissions-free — in the reduction of the emission of greenhouse gases, allowing each member state to decide whether or not to use nuclear-generated electricity.

• Also, a compromise was reached to achieve a minimum quota of 10% biofuels in the total consumption of gasoline and diesel in transport in 2020.

• Germany's energy transition, designates a significant change in energy policy from 2011. The term encompasses a reorientation of policy from demand to supply and a shift from centralized to distributed generation (for example, producing heat and power in very small cogeneration units), which should replace overproduction and avoidable energy consumption with energy-saving measures and increased efficie

18 / Q1_2012

German Railway map

Germany has excellent connections:

• With 231,000 km of roadways, of which

12,600 km are high speed highways

• 37,900km railway tracks

• 7,500km waterways and

• 26 International airports

Source: ixpose.de

19 / Q1_2012

20 / Q1_2012

Management

Finance Business Development

Corporate Services

Corporate Services

HR & GA

Memberships & Events

Communication & Publication

Design & Production

Tax

Projects

Training & Education

Trade Fairs

Market Access & DelegationAccounting

22 / Q1_2012

Business DevelopmentMarket access & information• Pre-market Checks• Individual Market & Product Studies• Business Partner Search

Business Delegations & Conferences• Political delegations (e.g. President Wulff, Chancellor Merkel, Ministers)• Political & business delegations (e.g. from Bundesland)• Delegation from specific sectors (e.g. Renewable Energy Sector)• Conferences/seminars to various topics (e.g. Confectionary)

23 / Q1_2012

Business Development

Trade Fairs

– Representation of Trade Fair Organizers– Trade Fair Marketing & Consultations– Travel, Transportation and Exhibition Service

24 / Q1_2012

Projects

- CBI – efficiency of energy in the Batik industry

- European Indonesian Business Network (EIBN)

Business Development

25 / Q1_2012

Business Development

Design & Production

• The in-house PR- & Design-department offers:– Advertising Campaigns and Concept Development for Corporate Communication – Products and Event Promotion– Displays and Material for Trade Fairs– Copywriting und Translations– Photography– Online Marketing and Web Design– Social Media Campaigns

• References– Mercedes Benz; Siemens; Bayer; BASF; Lufthansa; Deutsche Bank; European Union

Delegation; EuroCham; Kempinski

26 / Q1_2012

Corporate Services – Legal / HR & General Affairs Inhouse & Outside Counsel specialized in advising EKONID and German & Indonesian clients on the regulatory and legal framework for investments. OUTSIDE Counsel:

• Incorporation of Companies / Representative offices • Cross-boarder mergers • Contracts • Capital increase, Change of Shareholders / Board of Directors / Board of Commissioners,

Import licenses, Work- and Residence permits

References: ThyssenKrupp, Bosch, Dräger, Reinhausen, Otto, MTU, Logwin, Voith,Lösche, Otto Bock, Dorma, Kalenborn, Osram etc.

INHOUSE Counsel:• HR & General Affairs• Office-in-Office solutions• Network Law & Taxes• Yayasan Surabaya, AMM, Land & Building, Partnership Agreements, EU-projects

27 / Q1_2012

• SOROTAN– Quartal magazine– circulation 3.000

• NACHRICHTENBLITZ– Newsletter released twice a month, published by GTAI– For EKONID-clients significant information about economy, policy, law and

social questions• BUSINESS PARTNER

– Member Directory• Others

– Research Publications – Member´s newsletter (monthly, informing about EKONID and member‘s

events and news)

EKONID Publications

28 / Q1_2012

Thank you

Terima Kasih

Should you need the material of presentation, log on http://www.ekonid.com