Indonesia offers Tesla to build battery factory for electric vehicles

Jakarta (VNA) – Indonesia has suggested US electric vehicle (EV) producer Tesla to build an electric vehicle battery factory in the country, Indonesian Investment Coordinating Minister Luhut Binsar Pandjaitan stressed.

Earlier, Tesla CEO Elon Musk met with President Joko Widodo in Bali, Indonesia, while they were attending the World Water Forum, the minister told reporters.

Indonesia wants to build industries that exploit its natural resources like nickel. Indonesia has the world's largest nickel reserves and is also an important material for electric vehicle batteries and solar panels. Indonesia supplies 40% of global nickel production and has the potential to increase this share to 75% by 2030.

The Indonesian government has set a goal of producing 600,000 electric vehicles by 2030 and expects that by 2027, electric vehicles and their associated components manufactured in Indonesia will have a localization rate of 60%.

Billionaire Musk, owner of Tesla, SpaceX and social platform X, is in Bali, a tourist island in Indonesia, to implement the Starlink satellite internet service.

Pandjaitan reported that Widodo also asked Musk to consider investing in an artificial intelligence center in the Southeast Asian country and for SpaceX to build a launch pad on Biak Island, in the Indonesian province of Papua, an offer the government had already made before. ./.

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