Minister of Investment and Downstreaming/Head of the Investment Coordinating Board (BKPM) Rosan Perkasa Roeslani met with a number of giant Chinese companies within the electric vehicle (EV) ecosystem production chain during his visit to China on December 16-17, 2024.
Rosan among others visited production facilities of EV and battery manufacturer Build Your Dreams (BYD), material and component manufacturer CNGR New Material, and technology company Contemporary Amperex Technology Co., Limited (CATL) to follow-up on their investment commitment in Indonesia, find out things that the Indonesian government can support to accelerate investment realization and facilitate their long-term investment plans.
“As the message from President Prabowo is to always prioritize investors which have invested in Indonesia, that is what we are taking care of,” Rosan said as quoted in a statement on December 18, 2024.
On the first day of his visit to China, Rosan held a meeting with Global leading EV producer BYD Auto to discuss efforts to accelerate the construction of BYD’s electric car factory in Subang, West Java.
It is planned that BYD Indonesia will increase production capacity from the initial 150,000 units per year, as well as open for the development of battery facilities and premium Plug In Hybrid Electric Vehicle (PHEV) type vehicles early next year. The additional production capacity is planned to increase the total workforce from the previous 8,700 people to 18,814 people. The factory is targeted to start commercial production in early 2026.
“The construction of the BYD factory in Indonesia will be one of the fastest, because previously it took 10-16 months to build an electric car factory in China and in Thailand. But if supported by the government, we are confident that we can complete the construction of the factory and start commercial production in early 2026,” Liu Xueliang, General Manager of BYD Asia-Pacific, said.
Rosan emphasized the government’s commitment in encouraging the acceleration of BYD’s investment realization, one of which is coordinating with relevant ministries/ agencies to accelerate infrastructure around the industrial area, including toll roads and road access to Patimban Port in Subang, West Java. He also conveyed the Indonesian government’s support to the company in the form of accelerating the issuance of licenses and investment incentives.
BYD’s factory in Indonesia will be the largest automotive factory in ASEAN. Currently, the land area of the BYD factory is 108 hectares, with an additional construction to increase the site to 126 Ha.
Meeting with CNGR
Rosan visited CNGR New Material’s production facility in Qinzhou, China on December 17, 2024. He discussed the development of CNGR’s investment in Indonesia, as well as the company’s plan to build the Konasara Green Techno Industrial Zone (KIHTK) in North Konawe, Southeast Sulawesi which will focus on the production of advanced materials.
In the Industrial Estate in Konawe, CNGR plans to combine its industries from upstream to downstream. CNGR itself has invested in several smelter industry projects for processing nickel ore in Indonesia. CNGR’s total investment in Indonesia itself currently reaches Rp42.4 trillion (US$ 2.6 billion) with a total of 6,613 Indonesian workers.
CNGR also plans to invite global investors in advanced material producers to invest in the region. Later, companies in the region will not only process nickel, but also cobalt, manganese and other minerals. Nickel itself will be processed into advanced material energy and hydrogen, while tin will be developed for solar panel conductors and artificial intelligence. Within the area, research and development facilities will also be built to conduct planning and research into converting minerals into advanced materials.
“Our plan is that with the development of this area, the supply chain for advanced materials will be more centralized, creating efficiency and stability in the supply chain. This could be the only one in the world and Indonesia is the best place to develop the global advanced materials supply chain,” Deng Weiming, Chairman of CNGR Advanced Materials, said.
Meeting with BRUNP-CATL
T Rosan visited was BRUNP, which is part of the Contemporary Amperex Technology Co. limited (CATL) group. The former Chairman of the Indonesian Chamber of Commerce and Industry (KADIN) visited CATL’s production facilities in Foshan, China, namely the battery factory (CATL Ruiqing Factory) and cathode factory (CATL-Brunp Foshan Factory-I), as well as a visit to BRUNP’s head office in Foshan, China.
This visit also emphasized the commitment of the Indonesian government in supporting the accelerated development of the electric vehicle (EV) battery ecosystem in Indonesia. Currently, CATL Group through the CBL consortium (CATL, BRUNP and Lygend) is working with SOEs (ANTAM and IBC) to build an integrated electric vehicle battery industry chain and ecosystem project starting from mining, smelter, battery material industry (precursors and cathodes) and battery cells as well as battery recycling located in East Halmahera, North Maluku and in Karawang, West Java.
