Indonesia to Start Production of Lithium Battery in 2023

Diana Mariska
December 12, 2019 | 5:23 pm
SHARE
Ferronickel ores ready to be shipped overseas from Pomala Port in Kolaka, North Sulawesi. (Antara Photo/Asep Fathulrahman)
Ferronickel ores ready to be shipped overseas from Pomala Port in Kolaka, North Sulawesi. (Antara Photo/Asep Fathulrahman)

Jakarta. Indonesia is moving to the next stage of nickel processing with the end goal of producing its own lithium batteries by 2023, the Coordinating Minister for Maritime Affairs and Investment Luhut Pandjaitan said.

Luhut said the goal is part of a grand strategy to lower the national deficit by pushing for more export of value-added commodities instead of raw materials.

"For many years, we've only been producing nickel ores. Processing them into lithium batteries should make a big impact on our export and potentially reduce our $31 billion deficit," Luhut said in his office in Jakarta on Tuesday.

The minister said Indonesia is already learning how to perform high-pressure acid leaching (HPAL), a process to extract nickel and cobalt from laterite ores and an important step in the production of lithium batteries.

Advertisement

"We're hoping to get the environmental license from Ms. Siti [Nurbaya, Environment and Forestry Minister] before the end of this year," Luhut said.

The government will partner with Chinese battery company GEM and lithium battery maker Contemporary Amperex Technology (CATL) to build a lithium battery factory expected to be completed in the next 18 months to two years.

Indonesia has the biggest nickel reserves in the world with 21 million tons, above Australia (19 million tons) and Brazil (11 million tons).

Luhut said the plan to produce lithium batteries, which are used in electric cars, is also a reaction to the European Union's (EU) plan to ban fossil-fueled vehicles by 2045.

When this happens, the EU market will be very promising for Made in Indonesia lithium batteries.

Luhut said the new lithium battery factory is set to be built in Patimban, near Subang in West Java.

Tags: Keywords:
SHARE

The Latest


Business 6 hours ago

Sri Mulyani Assures Foreign Investors: Budget Cuts Won't Hinder Growth

Sri Mulyani highlights Indonesia's budget cuts at the Mandiri Investment Forum, focusing on public programs and driving economic growth.
Business 7 hours ago

OJK Introduces New Crypto Listing Rules After Taking Over from Bappebti

OJK introduces new crypto trading rules after taking over from Bappebti, focusing on investor protection, transparency, and market stability
News 7 hours ago

Prabowo Welcomes Erdoğan at Jakarta Airport

This year marks the 75th anniversary of diplomatic relations between Indonesia and Turkey.
Business 9 hours ago

Minister Bahlil Suspends Oil and Gas Director-General Achmad Muchtasyar

He didn’t mention the new role for Achmad, who had led the oil and gas directorate general for less than a month before his removal.  
News 9 hours ago

Marcos Jr. Thanks Cambodia for Pardoning 13 Filipino Women Convicted of Illegal Surrogacy

The women have acted as surrogates for a criminal syndicate selling babies to foreigners for cash.
COPYRIGHT © 2025 JAKARTA GLOBE. ALL RIGHTS RESERVED