Indonesia Opens $1.2 Billion EV Battery Plant with CATL

Edited by: S Света

In 2025, Contemporary Amperex Technology Co. Ltd. (CATL) and Indonesia Battery Corporation (IBC) launched a $1.2 billion EV battery plant in Karawang, West Java, Indonesia.

The plant, a joint venture named PT Contemporary Amperex Technology Indonesia Battery (CATIB), aims to produce 7 gigawatt hours (GWh) of lithium-ion batteries annually, with plans to double capacity to 15 GWh by the end of the decade.

This initiative is part of Indonesia's strategy to become a global leader in the EV battery supply chain, leveraging its vast nickel reserves.

The Indonesian government is targeting 2 million four-wheeled and 13 million two-wheeled electric vehicles on the roads by 2030.

The project is integrated into a $6 billion EV battery manufacturing and supply chain project, including mining and processing operations.

Indonesia holds the world's largest nickel reserves and is the top producer of the metal, crucial for battery production.

The CATL-IBC partnership is a significant step toward achieving Indonesia's EV industry goals, positioning the country as a key player in the global EV battery market.

The plant's operations are expected to begin in 2025, with full production capacity anticipated by the end of the decade.

This collaboration underscores the growing international interest in Indonesia's EV industry, driven by the country's rich mineral resources and favorable investment climate.

Sources

  • Just-Auto

  • Govt optimistic of achieving car battery ecosystem development target

  • Indonesia issues more tax incentives for EV sales

  • China's BYD to complete $1 billion Indonesia plant by year-end, executive says

  • Indonesia promises move to clean energy, but challenges loom

  • Nickel-rich Indonesia pitches EV battery plant plan to Elon Musk

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