Southeast Asia's first electric vehicle battery plant inaugurated in Indonesia

Published: Jul 5, 2024 17:00

Source: SMM

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Indonesia unveiled Southeast Asia's first electric vehicle battery manufacturing facility on July 3, 2024, as a landmark for the region's automotive industry.

Indonesia unveiled Southeast Asia's first electric vehicle battery manufacturing facility on July 3, 2024, as a landmark for the region's automotive industry. The facility boasts the world's largest nickel reserves and the sixth-largest producer of bauxite. Situated in Karawang, West Java Province, the plant was owned by HLI Green Power and was inaugurated on July 3, 2024.

This groundbreaking initiative is a joint venture involving Indonesia Battery Corporation, South Korean automaker Hyundai, and leading battery manufacturer LG Energy Solution. The move signifies Indonesia's strategic leap into the forefront of electric vehicle technology, leveraging its abundant nickel resources to propel the green energy transition forward.

During the ceremony, Indonesian President Joko Widodo said, "This is Southeast Asia's first and largest EV battery cell plant. I am confident we can compete with other countries with this."

With ample nickel, bauxite, and copper reserves and a well-developed smelter and precursor industry, Indonesia is poised to lead the electric vehicle market. A significant initial investment of $1 billion will yield 10 GWh of battery cells, sufficient to power 150,000 electric vehicles. Plans are to double production to 20 GWh in the future.

During the announcement, Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, underscored Indonesia's preparedness to lead in the global electric vehicle supply chain. This commitment is not just about Indonesia but about a comprehensive ecosystem that includes and values the contribution of international stakeholders, all working towards the common goal of reducing carbon emissions and improving air quality and quality of life worldwide.

Indonesia has trade restrictions on bauxite and nickel. In 2020, the nation prohibited the export of nickel, and in 2023, it banned the export of bauxite. Indonesia had previously planned to impose a ban on exports of copper concentrate beginning on June 1. However, the ban's start will now be postponed to December 31, 2024.

Source: https://www.alcircle.com/news/southeast-asia-s-first-electric-vehicle-battery-plant-inaugurated-in-indonesia-111360

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