The Indonesia Battery Corporation (IBC) and an LG Group-led consortium will soon commence construction of a US$1.2 billion (RM4.96 billion) manufacturing plant for electric vehicle batteries, reports Nikkei Asia.
The manufacturing plant is to be constructed in the Kota Deltamas industrial area in Bekasia, West Java approximately two hours from Jakarta, and the site is situated near another upcoming site where construction of a Hyundai manufacturing plant is nearing completion.
Comprised of oil and gas company Pertamina, electricity firm Perusahaan Listrik Negara (PLN), mining company Mind ID and nickel/gold miner PT Aneka Tambang (Antam), the Indonesia Battery Corporation is a joint venture between the four state-owned enterprises (SOEs) that saw the signing of a shareholders’ agreement on the company’s ownership structure in March this year.
The joint venture between IBC and LG will result in a facility that is expected to have a manufacturing capacity of 10 GWh, reports Nikkei Asia. Batteries produced from this factory are expected to go into Hyundai EVs, the new site quotes a report from the Investment Coordinating Board (BKPM) in Indonesia.
Being the world’s largest producer of nickel, Indonesia is keen to tap its reserves to build a domestic electric vehicle battery industry, says Nikkei Asia; officials in the country has said that the country aims to reach battery production capacity of 140 GWh by 2030.
The Korean consortium in the joint venture is comprised of LG Energy Solution, LG Chem and LG International, steelmaker Posco and Chinese cobalt producer Huayou Holding, according to BKPM, who also said that the Bekasi facility will be situated on 33 hectares and employ 1,000 workers.
“After a long process, we are thankful that we can soon break ground on the facility. The partnership is projected to help Indonesia upgrade from being a producer and exporter of raw commodities o becoming an important player in the global supply chain for the electric vehicle battery industry,” said BKPM chief Bahlil Lahadalia.
Lahadalia however did not specify a start date for the construction. IBC and LG are currently focused on completing a joint study and ironing out the details for the country’s first EV battery plant after agreements were signed on April 29, said the Investment Coordinating Board.
Outside the Indonesian market effort, IBC is also involved in a separate joint study with Contemporary Amperex Technology (CATL) of China for a different battery project.
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I pity the future generations of Bekasi residents having to live in a toxic wasteland while the rich business owners becomes richer without having to step foot into that environmental disaster zone their plant is centered.
Exactly like how Petronas is sucked till high n dry. Bankrap
Suck til dry still won’t be environment disaster zone like Bekasi. So no problemo
Said the suddenly “environmental conscious person” who doesn’t bat an eye pumping their petrol/diesel and spewing CO2
Which spews more CO2, car or a coal & oil run power plant?
Also conveniently leaves out renewable energy generation form the national power production mix
Bekasi will be the next Chernobyl
Pity your kid also next time cannot get job here because no investors coming in. You can eat fresh vege and grass everyday
Well done. Dont come here to malaysia. It mean more job to other country. Syukur eat grass for healthy life
eat grass better than eat toxic dirt drink contaminated water.
Locals returning to our origins to work. Syukurr
https://paultan.org/2021/05/28/new-proposals-for-euro-7-emissions-regulations-could-make-internal-combustion-engines-unviable-by-2026/
This is the reason why Indo is going big with EV battery making here, they don’t mind EU is shifting the pollution to their land while their own countries stay clean. Real sick & tired of this double standard from the rich countries.
Copy paste: “All these anti-ICE movements and Euro regulations keep throwing stuff to drive manufacturers out of ICE, but have they considered the technological maturity of EVs? Currently as it stands, battery for EVs are still too large and heavy compared to ICE, and I doubt there’s enough charging station to cater to everyone if they were to switch to EVs. I know that reducing emissions and pollution is the intent, but these associations need to consider the true viability of that before implementing such rules.
Engineering Explained made a video about the problems with EV and how ICE has a long way to go, and quite frankly he’s right, because there’s still a long way to go for EVs before they can match the convenience of ICE. Until EV technology has matured to the point where it can match ICE, I am against all these rules and such to force manufacturers out of ICE. It isn’t just the enviroment, it’s also the people that will be affected by these ridiculous rule changes.”
Bye2 Malaysia…more job losses & zero job creation
Kedah got RM60B REE to be mined, so no problemo.
Toyota,Hyundai and now LG investing Billions Of USD..mind you not rupiahs in Indonesia.
WHY? Is Jokowi a super duper salesman? I guess it is a combination of factors and teamwork which is sadly lacking in Bolehland.
Indonesia is also badly hit by covid,but still remain a lucrative investment hub…especially the automotive sector.
Don’t have to be supersalesman. Indonesia got rare earth minerals for battery production, we don’t. Its that simple.
You don’t need a PHD in geology or chemistry or physic to tell you the obvious. If these were abundance in Myanmar they would willing work with junta there regardless the human rights abuse. Greed matters, its that simple.
Better to lose job than to lose health and permanent destruction of our environment
Copy paste: “Katsana tengah sibuk citer emission..
Katsini pulak sibuk korek bijih, buat electric car.”
I rather lose such jobs than having to explain my kids why we’re now living in a Mad Max wasteland.
We dont have enough Nickel. So they dont invest here. Doesnt mean there’s any job losses for us, when we are not competing with them! There are only benefits for Malaysia as more illegal foreign labour go back to Indonesia.
ICE still relevant for years to come. Japanese had developed ICE with nitrogen as fuel with earth dream emmission.
current battery tech and manufacturers will be obsolete in no time thanks to breakthrough discovering futuristic high temperature Molten-Salt battery….
They will regret later on coz too much “wang pelincir” need to be paid out. From bottom to the top all corrupted. If they willing to give millions dollars worth of graft then goodluck
Why all investor go other countries
Why all pollution go other countries
Have they considered how to dispose or recycle used batteries? I have not seen any kind of news on how they gonna do that. I know of one local company in Australia doing it but that’s all I could gather from this part of the world.
Lynas one of the rare-earths waste processing firms.
Lynas is the cleanest way of getting into the EV chain business, we don’t suffer environment disasters of open mining nor the hazardous and dangerous process of battery making.