Epson Batam: Key Piece of Seiko Epson Global’s Value Chain

15 Sep 2025, 12:00:00 (UTC+7)
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Seiko Epson, a global electronics giant from Japan, considers Indonesia vital not only as a consumer market but also as a key production base. Established in 1991 in Batam, Epson initially focused on producing watches. From humble less than 200 employees in its opening, Epson Batam has grown to nearly 3,000 employees, both permanent and contract workers. Since its inception, Epson Batam has applied the same rigid standards and Kaizen principles as Seiko Epson’s headquarters in Japan, ensuring its products maintain the same level of quality as those manufactured in Japan.

Aside Indonesia, Epson operates facilities in Singapore and Johor Bahru, but their capacities are nowhere compared to Indonesia. Together with Indonesia Epson Industry in Cikarang, Epson Batam produces a wide range of consumer products for both domestic and international markets. These include inks and ink cartridges to LCM module, Printed Circuit Board and Integrated Circuit for printer and scanner. In the near future, Indonesia is expected to become Epson’s largest production hub in Asia, especially as operations from Singapore are gradually relocated to Batam.

Epson Batam’s commitment goes beyond production. The majority of its workforce consists of local Indonesian employees, who receive continuous training and development opportunities. The company provides basic and advanced training while also organizing international competitions to strengthen technical skills. Employees benefit from wages above the provincial minimum standard, ongoing training programs, healthcare facilities, and sports amenities, all of which make Epson Batam an attractive employer. In addition, Epson Batam actively contributes to the local community through Corporate Social Responsibility initiatives, including coral reef restoration in Batam waters and training programs for residents to repurpose unused Epson products.

Why Batam?

Batam has now been designated a Free Trade Zone (FTZ) and several specific areas within Batam have been specifically designated as Special Economic Zones (SEZs). Some of the benefits of FTZs include exemption from export and import duties, exemption from value-added tax and sales tax on luxury goods, and incentives. Meanwhile, the SEZs in Batam are SEZ Batam Aero Technic, SEZ Nongsa, and SEZ Tanjung Sauh. The main difference between FTZs and SEZs is the tax holiday of up to 20 years for investment in the SEZ. Currently, there are 31 industrial zones in Batam equipped with all the necessary facilities to support your industrial growth.

So, what are you waiting for? With its abundant skilled workforce, competitive tax and fiscal incentives, robust infrastructure, international-standard ports, and strategic proximity to Singapore, Malaysia, and Jakarta, Batam has become the most logical choice for global manufacturers. Come and invest in Indonesia especially Batam and secure your place in the heart of Asia’s supply chain.

Farel Anjar Renato Purba