Indonesia Launches Southeast Asia's First EV Battery Plant to Lead Global Market

Indonesia Launches Southeast Asia's First EV Battery Plant to Lead Global Market
Image credit: Xinhuanet News

Indonesia, which holds the world's largest nickel reserves, has opened Southeast Asia's first electric vehicle battery manufacturing plant in Karawang, West Java Province.

The plant, operated by HLI Green Power, is a joint venture between Indonesia Battery Corporation, Hyundai, and battery manufacturer LG Energy Solution.

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

Indonesia aims to become a dominant force in the electric vehicle market by leveraging its vast reserves of nickel, bauxite, and copper, along with integrated smelter and precursor industries.

The plant's initial investment of 1 billion U.S. dollars will produce 10 GWh of battery cells, enough to power 150,000 electric vehicles, with plans to expand to 20 GWh in the future.

At the same ceremony, Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan highlighted Indonesia's readiness to become a key player in the global electric vehicle supply chain through an integrated ecosystem involving international stakeholders.

Luhut also emphasized that this initiative aims to reduce carbon emissions, improve air quality, and enhance the quality of life for the Indonesian people.