Indonesia prepares transport corridor linking 3 countries on island of Kalimantan
It is due to become operational in 2027
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Photo source: Ake Ngiamsanguan / iStock
Indonesia is developing the infrastructure and finalising the legal framework and procedures for the Kalimantan Corridor. The corridor is expected to become operational in 2027, according to Vietnam News Agency (VNA), a partner of TV BRICS.
The ACTS system is designed to reduce transit times and lower transport costs. It also minimises the number of repetitive procedures at border crossings. Furthermore, the system allows for a single guarantee to cover taxes and duties that may arise during transit.
Licensed vehicles will be able to cross borders without having to transfer goods to vehicles from the host country at each border crossing. To participate, vehicles must meet technical requirements and obtain an ASEAN permit for cross-border freight transport by lorry. Each participating country may issue no more than 500 such permits.
It is noted that the development of the Kalimantan Corridor is particularly important for the Republic: the territories of Indonesia, Malaysia, and Brunei on the island form a continuous zone, and Kalimantan occupies the majority of the island.
It is expected that the creation of the corridor will reduce procedural barriers and strengthen road links and the flow of goods between the three countries.
ASEAN has welcomed the pilot rail transport operations under the ACTS and has called on Brunei and Indonesia to formally join the system’s operations on the Borneo Corridor. The possibility of connecting the ACTS to China in the future is also being considered – this would expand the trade network and the economic benefits derived from regional transport routes.
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