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View all search resultsPrabowo breaks ground on $5.9b EV battery plant in West Java
The plant's first phase is slated to begin operations by late 2026 with an initial production capacity of 6.9 GWh.
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President Prabowo Subianto delivers a speech during the groundbreaking ceremony of the integrated EV battery ecosystem project by the Antam-IBC-CBL consortium at Artha Industrial Hill, Karawang, West Java, on June 29. (JP/Divya Karyza)
P
resident Prabowo Subianto kicked off construction on a US$5.9 billion electric vehicle battery plant in Karawang, West Java, on Sunday. The facility will be operated by a joint venture between state-owned EV battery holding firm Indonesia Battery Corporation (IBC) and Chinese battery producer Contemporary Amperex Technology Co. Ltd. (CATL).
The Karawang plant is part of a broader nickel downstreaming initiative that spans the entire EV battery supply chain, from mining to recycling, which has been designated as a national strategic project (PSN).
While the battery manufacturing hub is based on the island of Java, the upstream components of the project, including mining and smelting operations, will be based in East Halmahera, North Maluku, a province rich in nickel reserves.
According to Energy and Mineral Resources Ministry spokesperson Dwi Anggia, the plant's first phase is slated to begin operations by late 2026 with an initial production capacity of 6.9 GWh. The output is expected to be ramped up to 15 GWh to serve both domestic and export markets.
Energy and Mineral Resources Minister Bahlil Lahadalia emphasized that Indonesia possesses most of the key minerals required to produce EV batteries, including nickel, manganese and cobalt. However, the country lacks a crucial component, lithium, as well as the technology needed to process it.
“That is why we have partnered with our Chinese counterparts, particularly CATL,” he said in a statement.
He added that beyond producing EV battery cells, the Karawang facility may eventually also manufacture battery energy storage systems (BESS) to support solar power infrastructure, though talks with the project owners on this potential expansion are still ongoing.
