Indonesia Unveils China-Built Anode Plant for Electric Vehicle Batteries
Indonesia inaugurates a new anode plant for EV batteries built by China's BTR New Material Group and Singapore's Stellar Investment. Initial investment of US$478 million for the plant's first phase to produce 80,000 metric tons of materials annually. Plans for the second phase include an additional $299 million investment to double the production capacity.
The facility is set to manufacture anode materials crucial for electric vehicle (EV) batteries.
Initially, a total investment of US$478 million has been made by the companies for the first phase of the plant. It is projected to produce 80,000 metric tons of materials annually, as confirmed by the Coordinating Ministry of Maritime and Investment Affairs. The exact date for the commencement of production is yet to be disclosed.
Indonesia aims to establish a local electric vehicle industry by leveraging its abundant mineral resources, particularly nickel, a key component for battery cathodes.
President Joko Widodo, also known as Jokowi, highlighted the country's strategic move towards developing a robust EV ecosystem, which began with the ban on raw nickel exports in 2020. This initiative marks a significant step towards Indonesia's industrial growth.
BTR will utilise graphite products from its Indonesian Morowali plant for the anode facility. Plans are underway for the construction of the second phase of the anode material plant later this year, with an investment of US$299 million. This expansion aims to double the production capacity to 160,000 tons annually.
He Xueqin, the chairman of BTR New Material Group, stated that upon completion of the second phase, Indonesia will rank as one of the leading global producers of anode materials. The country is poised to become the world's second-largest producer of such materials, following China, thereby bridging the gap in the Indonesian and ASEAN battery industry.
Indonesia's proactive measures have attracted significant investments from prominent battery and EV manufacturers. Companies like South Korea's Hyundai Motor Group and LG Energy Solution have recently initiated the production of battery cells in the country. This collaboration integrates Hyundai's plant to manufacture electric vehicles equipped with batteries made in Indonesia.
Indonesia inaugurates a new anode plant for EV batteries built by China's BTR New Material Group and Singapore's Stellar Investment.
Initial investment of US$478 million for the plant's first phase to produce 80,000 metric tons of materials annually.
Plans for the second phase include an additional US$299 million investment to double the production capacity.
Source: REUTERS