Hyundai & LG Open Indonesia's First EV Battery Plant

Southeast Asia's first EV battery manufacturing plant in Karawang
Hyundai & LG Energy Solution launch Southeast Asia's first US$1bn EV battery plant in Indonesia, aiming to produce 10 GWh annually, powering 150,000 EVs

Indonesia, renowned for its vast nickel reserves, has inaugurated Southeast Asia's first EV battery manufacturing plant in Karawang, West Java. HLI Green Power, a joint venture between Indonesia Battery Corporation, Hyundai Motor and LG Energy Solution, owns this state-of-the-art facility.

Indonesian President Joko Widodo

Aiming for Global Leadership

Indonesia's rich nickel, bauxite and copper reserves, combined with its integrated smelter and precursor industries, position the country to lead the EV market.

The initial US$1bn investment in the plant will produce 10 GWh of battery cells annually, enough to power 150,000 EVs. Plans are underway to expand this capacity to 20 GWh in the future.

Youtube Placeholder

A Strategic Collaboration

The launch marks a significant milestone in the partnership between Hyundai Motor Group and LG Energy Solution. Both companies are committed to investing up to US$9.8bn to develop a comprehensive EV supply chain in Indonesia, leveraging the country's rich resources of nickel and copper.

Chair Euisun Chung, Group Executive, Hyundai Motor

"Mineral resources of this nation, such as iron and nickel, are important components in batteries that will mobilise millions of EVs globally," said Hyundai Motor Group Executive Chair Euisun Chung at the opening ceremony.

Integrated Production and Future Expansion

The battery plant integrates with Hyundai's auto factory, which plans to produce 50,000 units of the Kona Electric SUV per year using Indonesian-made batteries. Hyundai and LG Energy Solution are preparing for the second phase of the battery plant, which involves an additional US$2bn investment to increase capacity by another 20 GWh.

Future Cooperation

Indonesia's Investment Minister, Bahlil Lahadalia, and South Korea's Minister for Trade, Cheong Inkyo

Indonesia's Investment Minister, Bahlil Lahadalia and South Korea's Minister for Trade, Cheong Inkyo, met to discuss future cooperation in EVs, petrochemicals and clean energy technologies, including carbon dioxide capture and storage.

The new plant is a significant step forward in Indonesia's ambition to dominate the EV market and contribute to a more sustainable future.

Strengthening Indonesia's Position in the EV Market

Since banning the export of raw nickel in 2020, Indonesia has been encouraging investment in local processing.

At the ceremony, Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, highlighted Indonesia's readiness to become a pivotal player in the global supply chain for EVs. He noted that this initiative would reduce carbon emissions and improve air quality, enhancing the quality of life for Indonesians.


*******************

Make sure you check out the latest edition of EV Magazine and also sign up to our global conference series - Sustainability LIVE 2024.

*******************

EV Magazine is a BizClik brand.

Share

Featured Articles

SIXT Boosts EV Availability by 30% with Guided Energy

Guided Energy optimises SIXT's EV operations, boosting availability by 30% with efficient charging schedules and proactive monitoring of car rentals

Ford Advances BlueOval City with Training & Sustainability

Ford's BlueOval City in Tennessee prioritises education, environmental protection, and community engagement as construction progresses at the EV Centre

Panasonic Energy & University of Kansas Partner

Panasonic Energy & University of Kansas Partner on EV Battery Technology & Talent Development contributing to the US manufacturing sector & overall economy

Royal Mail's Drone Trials: Transforming Postal Delivery

Technology

Stellantis Awards Top Tech Start-ups for Innovation

Technology

Formula E Expands Girls on Track Initiative

Sustainability