Indonesia Inaugurates Southeast Asia's First EV Battery Plant

Indonesia Inaugurates Southeast Asia's First EV Battery Plant
EV battery | Handtmann Systemtechnik GmbH & Co. KG

On July 3, 2024, Indonesia inaugurated Southeast Asia's pioneering electric vehicle battery manufacturing plant, marking a significant milestone for the regional automotive industry. Nestled in Karawang, West Java Province, the facility is owned by HLI Green Power and stands as a beacon of innovation, leveraging Indonesia’s vast nickel reserves—the largest globally—and its position as the sixth-largest producer of bauxite.

This state-of-the-art facility is a result of a strategic joint venture between Indonesia Battery Corporation, South Korean automaker Hyundai, and renowned battery manufacturer LG Energy Solution. The initiative underscores Indonesia's ambition to become a key player in the electric vehicle sector, utilizing its rich natural resources to drive the green energy revolution. The initial $1 billion investment will yield the capacity to produce 10 GWh of battery cells, sufficient to power approximately 150,000 electric vehicles, with plans to double this capacity to 20 GWh in the future.

During the inauguration, Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, emphasized Indonesia’s readiness to lead the global electric vehicle supply chain. He highlighted that this ambitious project extends beyond national borders, fostering an inclusive ecosystem that values international collaboration aimed at reducing carbon emissions and enhancing global air quality and living standards.

Also read: ASEAN and Japan Team Up for Electric Vehicle Race

Indonesia has implemented stringent trade restrictions on its critical resources. The country banned nickel exports in 2020 and followed with a prohibition on bauxite exports in 2023. Although Indonesia intended to ban copper concentrate exports starting June 1, the enforcement date has been deferred to December 31, 2024. These moves reflect Indonesia’s strategy to maximize the value of its mineral wealth domestically, further reinforcing its position in the global supply chain for electric vehicle batteries.

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Akhyari Hananto

I began my career in the banking industry in 1997, and stayed approx 6 years in it. This industry boost his knowledge about the economic condition in Indonesia, both macro and micro, and how to More understand it. My banking career continued in Yogyakarta when I joined in a program funded by the Asian Development Bank (ADB),as the coordinator for a program aimed to help improve the quality of learning and teaching process in private universities in Yogyakarta. When the earthquake stroke Yogyakarta, I chose to join an international NGO working in the area of ?disaster response and management, which allows me to help rebuild the city, as well as other disaster-stricken area in Indonesia. I went on to become the coordinator for emergency response in the Asia Pacific region. Then I was assigned for 1 year in Cambodia, as a country coordinator mostly to deliver developmental programs (water and sanitation, education, livelihood). In 2009, he continued his career as a protocol and HR officer at the U.S. Consulate General in Surabaya, and two years later I joined the Political and Economic Section until now, where i have to deal with extensive range of people and government officials, as well as private and government institution troughout eastern Indonesia. I am the founder and Editor-in-Chief in Good News From Indonesia (GNFI), a growing and influential social media movement, and was selected as one of The Most Influential Netizen 2011 by The Marketeers magazine. I also wrote a book on "Fundamentals of Disaster Management in 2007"?, "Good News From Indonesia : Beragam Prestasi Anak Bangsa di dunia"? which was luanched in August 2013, and "Indonesia Bersyukur"? which is launched in Sept 2013. In 2014, 3 books were released in which i was one of the writer; "Indonesia Pelangi Dunia"?, "Indonesia The Untold Stories"? and "Growing! Meretas Jalan Kejayaan" I give lectures to students in lectures nationwide, sharing on full range of issues, from economy, to diplomacy Less
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