Indonesia Proposes OPEC-Like Group for Nickel at G7 Summit

Jayanty Nada Shofa
May 20, 2023 | 10:51 pm
SHARE
President Joko "Jokowi" Widodo attends the G7 Summit in Hiroshima, Japan on May 20, 2023. (Photo Courtesy of Presidential Press Bureau)
President Joko "Jokowi" Widodo attends the G7 Summit in Hiroshima, Japan on May 20, 2023. (Photo Courtesy of Presidential Press Bureau)

Jakarta. Nickel-rich Indonesia on Saturday’s G7 Summit in Hiroshima proposed the establishment of an OPEC-like organization for the silvery metal.

The OPEC, which Indonesia was once a member of, is short for the Organization of the Petroleum Exporting Countries. OPEC says it aims to coordinate the petroleum policies of its member states and keep markets stable to secure regular supply for consumers. And Indonesia wants a similar cartel for nickel-producing countries. 

“I hope G7 countries can become a partner in this industrial downstream. It is time to establish an OPEC-like group for other products such as nickel and palm oil,” Jokowi said at the G7 Summit, as quoted by the Presidential Secretariat.

Indonesia has been working on developing its downstream industries, meaning that the country would process or purify raw materials —such as nickel— first at home before exporting them for added value. 

Advertisement

At the G7 Summit, Jokowi took the opportunity to promote win-win partnerships. Jokowi told the attending leaders that global south countries should not remain an exporter of raw materials as the world is no longer in the colonial era.

“Is it fair for resource-rich countries like Indonesia to be prevented from enjoying the added value of their natural resources? Or be stopped from processing their natural resources domestically?” Jokowi said.

Nickel is critical for the production of electric vehicle batteries. 

The US Geological Survey shows that Indonesia and Australia are tied for having the world’s largest nickel reserves. Both countries’ nickel reserves total 21 million metric tons. In 2022, Indonesia produced an estimated 1.6 million metric tons of nickel. 

Government data shows although Indonesia has substantial nickel reserves, the country is not a major exporter of its downstream products such as battery precursors or battery packs.

The G7 encompasses Canada, France, Germany, Italy, Japan, the UK, and the US. The European Union (EU) is a "non-enumerated member", with whom Indonesia has an ongoing dispute on nickel. 

The EU filed a lawsuit against Indonesia at the World Trade Organization (WTO) for banning the export of unprocessed nickel ores. The EU feared that the ban, which has been in place since Jan. 2020, would take a toll on the European bloc’s stainless steel production. Indonesia, however, lost the lawsuit, and the Southeast Asian country has already appealed the panel ruling.

Read More: Indonesia Wants Developing Countries to be Heard at G7 Summit

Tags: Keywords:
SHARE

Related Articles


News Apr 23, 2025 | 2:10 pm

Prabowo Likely to Send Jokowi to Pope’s Funeral

Prabowo is skipping Pope Francis' upcoming funeral due to unspecified reasons.
News Apr 16, 2025 | 11:12 pm

Jokowi Privately Shows School Diplomas to Journalists to Refute Persistent Allegations

Jokowi asked that no photos be taken during the informal session, underscoring his desire to maintain personal privacy.
News Apr 11, 2025 | 2:40 pm

Jokowi Hires Legal Team to Confront Accusations Over University Diploma

Jokowi is once again facing renewed online attacks despite repeated confirmations from UGM officials affirming his graduation.
News Mar 27, 2025 | 12:40 am

Prabowo Hosts Jokowi for Ramadan Dinner

Since taking office last October, Prabowo has maintained a close relationship with Jokowi.
News Mar 21, 2025 | 8:09 pm

Puan Brushes Off Jokowi-PDIP Rift, Calls Ties 'Always Warm'

Puan Maharani denies tensions between PDIP and Jokowi, calling their ties "always warm" despite his ouster and political rift in 2024.
Business Mar 20, 2025 | 5:20 pm

Prabowo Wants Batang Industropolis to Be Indonesia's Shenzhen

Batang Industropolis became the first special economic zone (SEZ) for Prabowo to launch since assuming power last October. 
News Mar 7, 2025 | 12:56 pm

Entrepreneur Hashim Djojohadikusumo and Jokowi Discuss Economic and Environmental Topics

The meeting lasted about two hours. Speaking to the press afterward, Hashim confirmed that he had been invited by Jokowi.
Business Feb 27, 2025 | 10:56 am

Jokowi Stresses Professionalism and Transparency in Danantara's Management

Jokowi urges experienced professionals and transparency in managing Danantara to maximize Indonesia’s state-owned assets.
News Feb 26, 2025 | 1:20 pm

Former Malaysian PM Mahathir Mohamad Visits Jokowi in Solo

Former Malaysian Prime Minister Mahathir Mohamad and his daughter, Marina Mahathir, visited Joko "Jokowi" Widodo at his residence in Solo.
Business Feb 24, 2025 | 6:28 pm

Prabowo: Danantara to Focus on Nickel, AI, and Renewable Energy

The Investment Management Agency (BPI) Daya Anagata Nusantara (Danantara) will begin operations immediately after its launch

The Latest


Business 5 hours ago

Trade War Has US Airlines Trimming Flights and Withdrawing Financial Guidance

Delta Air Lines pulled its January prediction that the company was on track for the best financial year in its history.
Business 5 hours ago

China Dismisses Claims of Ongoing Tariff Talks with US as Groundless

“Any claims about the progress of China-US trade negotiations are as groundless as trying to catch the wind," a spokesman said.
Business 9 hours ago

Jahja Setiaatmadja Bids Farewell as BCA CEO, Hendra Lembong Cleared as Successor

Hendra, 53, was appointed as the new CEO during BCA’s annual general meeting of shareholders on March 12.
Tech 11 hours ago

Indosat Urges AI Adoption in Mining to Boost Efficiency and Output

AI-driven technological breakthroughs have the potential to dramatically increase mining output and boost the sector's contribution to GDP.
News 11 hours ago

First Groups of Indonesian Hajj Pilgrims to Depart on May 2

Despite having the largest Hajj quota, millions of Indonesians remain on waiting lists, with many facing wait times of a decade or more.
COPYRIGHT © 2025 JAKARTA GLOBE. ALL RIGHTS RESERVED