Indonesia to become world’s leading battery producer

Jakarta – Indonesia should become the world’s largest battery producer, with the government’s plan to develop an electric vehicle environment in the country.

The BKPM head noted that Indonesia was known for its natural resource wealth, including wood, gold, fish, and coal, but it did not offer added value to the country, as several of them are exported in raw material form.

The BKPM pointed out that 25 percent of the world’s nickel reserves were found in Indonesia, and it should be used for the development of batteries, the main component of electric vehicles. The raw materials to produce battery for electric vehicles are nickel, manganese, and cobalt that are available in Indonesia.

The government has outlined some comprehensive measures to encourage investors to invest in Indonesia.In its first move, the government has banned the exports of nickel ore since the end of October 2019.

The government has also offered various incentives, comprising tax holiday and the simplification of machinery import license to attract investors

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