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Indonesia promotes nickel-based EV battery production

As many factories operating in Indonesia are currently lithium-based, an official of the Ministry of State-Owned Enterprises has asked for support from other ministries to provide incentives for the shift to nickel-based batteries in the country.

Indonesia is pushing for regulations for EV factories to shift from lithium-based to nickel-based batteries. (Illustrative photo: AFP/VNA)
Indonesia is pushing for regulations for EV factories to shift from lithium-based to nickel-based batteries. (Illustrative photo: AFP/VNA)

Jakarta (VNA) – Indonesia is advocating regulations to encourage electric vehicle (EV) manufacturers to switch from the commonly used lithium-based batteries to nickel-based ones.

The Indonesian government is pushing for regulations for EV factories to shift the battery technology, Deputy Minister of State-Owned Enterprises (SOEs) Kartika Wirjoatmodjo said after attending the recent 2025 International Battery Summit in Jakarta.

SOEs have engaged in EV battery projects such as joint projects with CATL and Huayou, Wirjoatmodjo explained, calling for increased investment in the midstream industry.

As many factories operating in Indonesia are currently lithium-based, he asked for support from other ministries to provide incentives for the shift to nickel-based batteries in the country.

The official said global battery demand is projected to reach 8,800 gigawatt hours (GWh) by 2040, making the supply chain a vital factor in meeting this demand.

Indonesia can capitalise on this momentum by securing raw material supplies, improving supply chain efficiency, and establishing strategic partnerships and collaborations, he added./.

VNA
#Indonesia #electric vehicle #lithium-based batteries #nickel-based batteries Indonesia
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