From left, Coordinating Maritime Affairs Minister Luhut Panjaitan, German Ambassador Peter Schoof and Stephan Weil, minister president of Lower Saxony, pose for a photo during an event in Jakarta on Oct. 3 marking the 29th anniversary of German reunification. (The Peak Photo/Suhadi)

Indonesia, Germany to Cooperate on Electric Vehicle Production


OCTOBER 08, 2019

Jakarta. Bilateral relations between Indonesia and Germany will continue to strengthen and will include future cooperation between the two countries' automotive industries on electric vehicle production, a top official said last week.

Indonesia expects real action from Germany, especially in the form of direct investment, Coordinating Maritime Affairs Minister Luhut Panjaitan said during an event held in Jakarta on Oct. 3 to mark the 29th anniversary of German reunification.


Stephan Weil, minister president of Lower Saxony, also attended the event.

"I reported also to our president this afternoon and he was very happy with this progress, and especially in discussing electric vehicle production with Volkswagen and Audi, we saw the possibility of establishing a lithium battery industry in Indonesia," Luhut said.

Indonesia will also participate as a partner country in Hannover Messe 2020, the world's leading industrial technology exhibition.

"Our participation is very much in line with our commitment to develop Indonesia's Industry 4.0 programs, which focus on the food and beverage, textile, automotive, chemical and electronics sectors," Luhut said.

President Joko "Jokowi" Widodo signed a regulation in August that will accelerate the development of electric vehicles in Indonesia.

During last week's event, Luhut also announced major German investment in Southeast Asia's largest economy.

"Our Ambassador Havas [Oegroseno] mentioned to me that the German government was willing to invest some €2.5 billion [$2.75 billion] in infrastructure projects in Indonesia," the minister said.

He added that the German government had committed an additional €10 million for a mangrove rehabilitation program in the archipelago.

German Ambassador Peter Schoof meanwhile congratulated Indonesia on this year's successful simultaneous presidential and legislative elections.

"My congratulations go to the Indonesian people who, 20 years after their transition, demonstrated their strong belief in democracy… Germany and the EU at large would like to ask you to continue on the path of democracy, diversity and openness for the benefit for the people of Indonesia," he said.

The ambassador also praised late President B.J. Habibie, who was held in very high esteem by the German people.

Indonesia and Germany are both currently serving as nonpermanent members of the United Nations Security Council and expect to work together in pursuing international peace and security, Luhut said.

Indonesia and German established diplomatic relations in 1952.