Minister of Maritime Affairs and Investment Coordination, Luhut Binsar Pandjaitan, revealed that Indonesia has received a USD 1.3 billion investment proposal for the electric vehicle industry. The proposal, submitted by a prominent global electric vehicle manufacturer, aims to establish a manufacturing plant and distribution network in Indonesia, accelerating the development of the domestic electric vehicle industry. The investment has the potential to be a game changer for the Indonesian automotive sector, as it aims to produce affordable electric vehicles that cater to the preferences of Indonesian consumers.
Minister Luhut emphasized the significance of building a copper processing plant to support the electric vehicle ecosystem in Indonesia. With each electric vehicle requiring approximately 56 kilograms of copper, excluding the copper needed for the vehicle batteries, the establishment of a copper processing plant becomes crucial. Indonesia, with its abundant copper reserves and regulations promoting the establishment of copper smelters, holds great potential to become a key player in the electric vehicle industry. Minister Luhut also stressed the importance of integrating downstream strategies for tin, nickel, cobalt, and bauxite in the development of the electric vehicle industry, highlighting the need to focus on battery lithium development and other technologies to create a comprehensive electric vehicle ecosystem.
