Groundbreaking Of Electric Battery Factory In Karawang, Jokowi: First In Southeast Asia With USD 1.1 Billion Investment

JAKARTA - President Joko Widodo groundbreaking the construction of the electric vehicle battery factory PT. HKML Battery Indonesia, in Karawang New Industrial City, West Java. Jokowi is very happy because this is the first electric battery factory in Indonesia and even Southeast Asia.

"This is the first in Indonesia and even the first in Southeast Asia with an investment value of USD 1.1 billion", said Jokowi, Wednesday, September 15.

Jokowi said the construction of this factory is a manifestation of the government's seriousness in downstreaming the industry. The glorious era of raw material commodities, said Jokowi, is over.

"We must dare to change the economic structure that has been commodity-based to go downstream, enter industrialization, become a strong industrial country based on the development of technological innovation", said Jokowi.

"Therefore, the country's big business strategy is to get out as soon as possible from the trap of raw material exporting countries. Let go of dependence on imported products by accelerating the revitalization of the processing industry, so that it can provide higher economic added value", he continued.

Indonesia currently has the largest nickel reserves in the world, with such tremendous potential. If everything is managed properly, Jokowi believes that in the next four years, Indonesia will become a major producer of nickel-based finished goods, such as lithium batteries, electric batteries, and electric vehicle batteries. "The downstream nickel industry will significantly increase the added value of nickel ore. If it is processed into battery cells, the value can increase six to seven times. And if it becomes an electric car, the added value will increase even more, which is 11 times", he continued.

"In addition, the development of the battery industry will also increase the attractiveness of Indonesia as an investment destination for derivative industries that use batteries, such as investment in electric motors, electric buses, and the electric car industry", he continued.

Jokowi hopes that collaboration between South Korean companies and Indonesian companies can continue to be strengthened. Including the realization of investment cooperation in the battery and electric vehicle industry.