Indonesia launches first EV battery plant in Southeast Asia

By VNA   July 3, 2024 | 11:20 pm PT
Indonesia launches first EV battery plant in Southeast Asia
Cars on a road in Jakarta, Indonesia. Photo by Pexels
Indonesia launched its first electric vehicle (EV) battery plant on Wednesday, which is also the first of its kind in Southeast Asia.

The plant, located in Karawang city, West Java, belongs to PT HLI Green Power, a joint venture between Indonesia’s Battery Corporation and Korean manufacturers Hyundai Motor Group and LG Energy Solution (LGES).

With an investment of US$1 billion, the plant can produce up to 10 Gigawatt hours (GWh) of battery cells every year to provide to 150,000 EVs.

PT HLI Green Power is expected to spend $2 billion to raise the plant's capacity to 20 GWh.

The plant is part of a $9.8 billion EV battery deal signed between Indonesia and LG in 2020.

Speaking at the inauguration ceremony, Indonesian President Joko Widodo emphasized that the opening of the factory marks a new chapter demonstrating Indonesia's desire to become a global partner in the EV supply chain.

Meanwhile, Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan affirmed Indonesia's readiness to be a key player in the global EV supply chains.

Indonesia has the world's largest nickel reserves and the reserves of iron, copper, and bauxite which are important components of EV batteries.

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