Indonesian President Joko Widodo met with three leaders of leading companies from Europe in Hannover, Germany. The three companies, BASF, Eramet and Volkswagen, plan to invest in Indonesia’s car battery ecosystem. BASF alone will be making a US$ 2.6 billion in investment in North Maluku.
Founded in 1865, Badische Anilin und Soda Fabric (BASF) is a multinational company from Germany in the world’s largest chemical production sector. The 150-years old company focuses on solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals, and inorganic chemicals. The company has revenues of €78.6 billion in 2021.
BASF will directly invest in North Maluku, with the aim of developing a car battery ecosystem. “More or less, the investment is around US$ 2.6 billion,” said Indonesian Minister for Investment Bahlil Lahadalia.
BASF will work with a French company, Eramet, to create an ecosystem that can be applied as a business practice that pays attention to the Environment, Social, Government (ESG) environment in using green energy. “The construction process will begin at the end of 2023,” said Lahadalia.
Founded in 1880, Eramet is a French multinational mining and metallurgical company. The company is listed on the Paris Euronext stock exchange under the symbol ERA. The company has revenues of €3.668 billion in 2021.
Meanwhile, Volskwagen through its subsidiary PowerCo SE, which focuses on the production of electric batteries, is interested in building a car battery ecosystem in Indonesia. Lahadalia stated that PowerCo will cooperate with several companies. However, Lahadalia did not provide further details on which company will PowerCo choose.
