American electric car maker Tesla, Chinese automaker BYD and South Korea’s Hyundai Motor are finalizing a deal to invest in Indonesia’s electric-vehicle industry, according to a report by Bloomberg.
This was confirmed by Luhut Panjaitan, coordinating minister for maritime affairs and investment, in a meeting with local government leaders on Tuesday. He added that the cabinet has reached a decision on EV matters and will make an announcement soon.
Southeast Asia's largest economy has set out a vision of building out an end-to-end electric-vehicle supply chain onshore by offering potential investors access to its reserves of key battery metals.
The country expects $30 billion of investments through 2026 to develop its EV battery ecosystem according to Panjaitan's presentation.
Plans for its EV industry are now coming together, especially with the recent investment from global EV and battery producers; the $6 billion mining-to-batteries complex investment from Contemporary Amperex Technology Co. Ltd and Hyundai’s new EV plant.