Develop a battery plant in Morowali, China and Japan Investment of 700 million US dollars

JAKARTA, KOMPAS.com – Minister of Maritime Affairs Coordination, Luhut Binsar Panjaitan, revealed that China and Japan had decided to invest in the development of electric battery production. The value of the investment reaches 700 million US dollars.

The factory is one of the support instruments for motor vehicle projects based on electric power.

He revealed this at the coordination meeting on the development of national electric motor vehicles at the Parliament Complex, Senayan, Jakarta, Thursday (29/11/2018).

Read also: DPR commitments in support of national electric vehicle projects

"China and Japan have invested 700 million USD to develop electric batteries in Morowali," said Luhut.

According to Luhut, investments are being invested in the construction of a nickel smelter that can produce 50,000 tons per year.

In addition, the nickel hydroxites and cobalt will be constructed with a production capacity of 4,000 tonnes per year.

"January will be revolutionary tomorrow," said Luhut.

Luhut said that Indonesia has the largest nickel reserves. Nickel is the main component of lithium batteries used in powered electric vehicles.

About 60 to 80% of the lithium battery components come from nickel. While the nickel reserves in Indonesia are very strategic to develop.

Read also: Government: The development of electric vehicles reduces imports of BBM

He hopes that the construction of lithium battery factory will further encourage the development of the electric motor vehicle industry.

"Indonesia must be the leading player in the lithium battery because it has the largest reserves of nickel," said former Minister of Policy Coordination, Law and Security.

"We now want to build a lithium battery (factory) in Morowali, in Karawang, it will now manufacture its car factory.The seaport is at Patimban, the airport at Kertajati airport", has he declared.