Fact! Luhut Calls US-Owned HPAL Nickel Smelter Technology Missing 9 Years From China

JAKARTA - Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan revealed that even though he became a developed country, the United States' High Pressure Acid Leach (HPAL)-based purification technology was still far behind China.

"However, the technology in the smelter and technology in this HPAL, China is still 9 years behind America," Luhut said in MINDIALogue, Thursday, June 20.

Regarding the lack of this technology, Luhut continued, it has even been recognized by the US electric car giant, Tesla. This was known by Luhut after a visit to China and met Chinese Foreign Minister Wang Yi

"So it's free from money, but in terms of technology you are 9 years behind. And this is acknowledged by Tesla that they are 9 years old from China. So even if you have money, you can't buy time," explained Luhut.

For this reason, Luhut also emphasized that despite having money and becoming the country with the largest trade in the world, the US cannot immediately regulate other countries, namely Indonesia.

Luhut said America also has a target to increase the number of electric vehicles (EVs) by 11 times by 2030.

According to him, the target is impossible for America without Indonesia.

The reason is, currently Indonesia holds 70 percent of the nickel ore supply in the world.

"Without Indonesia it would not have happened. And I also convey this to my friends in America, I say it is impossible for you to increase 11 times what is now without Indonesia," said Luhut.

Moreover, currently, America is starting to implement an Inflation Reduction Act (IRA) policy which will affect the discriminatory treatment obtained by Indonesia's nickel proque in the eyes of the world.

Just so you know, currently many Indonesian nickel products are not included in the IRA Law because they are dominantly produced from smelters built by Chinese and Indonesian companies that do not have a Free Trade Agreement (FTA).

"So I think this conversation should be clear. So we have to be offensive to them too, say hey we are not a country that you can just manage. Because we also have an establishment because we also have to survive," concluded Luhut.