ASIATODAY.ID, JAKARTA – Slowly but surely, Indonesia has taken important steps by stopping exports of raw materials and establishing policies regarding downstreaming.
Indonesia is now gradually building an electric vehicle ecosystem within the country, starting from raw materials, electric vehicle (EV) batteries, to electric vehicles which are expected to become one of the main players in the global supply chain in the next few years.
“I am very happy that at PT Indonesia BTR we can produce 80,000 tons of anode material, which if made into cars will be one and a half million electric cars, which is very large, especially if we add 80,000 tons of production in this industry. That means it will be three million electric cars per year,” explained President Jokowi when inaugurating the lithium battery anode material factory by PT Indonesia BTR New Energy Material Kendal Industrial Zone (KIZ) in the Kendal Special Economic Zone (SEZ), Wednesday, August 7 2024.
In a report by the Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, this factory has a capacity of 80 thousand tons, which is enough to make battery anodes for 1.5 million electric cars. At the beginning of the fourth quarter of this year, construction of the second phase will begin and is predicted to be completed in March 2025, bringing the total capacity to 160 thousand tons.
“With this capacity, Indonesia will become the second largest battery anode producer in the world, and this factory will be the largest in the world,” said Luhut.
BTR New Material Group has now been the largest lithium battery anode material producer in the world for 10 consecutive years, with a market share of 26% in 2022. Thanks to the Indonesian government’s cooperation with qualified battery manufacturers, as well as consistency in always encouraging downstream development , credibility becomes important.
“Because credibility is the basis of trust for investors. We can no longer compete with neighboring countries just by relying on incentives. But credibility and trust are key factors. This is what we must maintain,” said Luhut.
This post-processing factory is located in the Kendal Industrial Area in Central Java Province, with a land area of 12 hectares, and will produce finished lithium battery anode material products. The first export in August, a sample of 30.8 tons or 1 container of finished product, was exported to meet Samsung’s demand. Furthermore, LG Panasonic, Tesla and other important international customers have placed orders for finished products. (AT Network)
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