Indonesia launches colossal EV battery project in West Java

By EV Update IndiaJun 30, 2025

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What makes this EV battery project groundbreaking
Who is involved in this major EV battery project
Economic and environmental impact of the EV battery project
EV battery project aligns with global supply chain trends
Regional spread and future expansions
EV battery project and rural livelihoods
EV battery project timing and strategic timing
EV battery project and recycling
Challenges and mitigation
EV battery project: Indonesia’s green industrial leap

EV battery project takes off in West Java today as Indonesia inaugurates a massive new initiative centered on electric vehicle battery production. With nearly $6 billion in investment, the project encompasses nickel mining, processing, battery material production, cell manufacturing, and recycling—all under one roof. This landmark EV battery project marks a critical step for Indonesia’s ambition to become a global EV battery powerhouse.

What makes this battery project groundbreaking

At the heart of the battery project is Indonesia’s unparalleled access to nickel—the essential raw material for lithium-ion batteries. By integrating nickel mining with end-to-end battery production, the project breaks away from the traditional export model. Instead of merely selling ore, Indonesia is moving up the value chain to refine, manufacture, and recycle batteries locally—an advanced green industrial pathway.

President Prabowo Subianto and Energy Minister Bahlil Lahadalia officially launched the battery project at Karawang, West Java. The initiative will generate some 35,000 jobs and add up to $42 billion annually to the Indonesian GDP. The project’s plant aims to supply enough lithium-ion batteries for approximately 300,000 EVs each year, reducing Indonesia’s annual fossil fuel imports by around 300,000 kiloliters.

Who is involved in this major EV battery

This EV battery project represents a major public–private partnership: state-owned nickel miner PT Aneka Tambang (Antam), Indonesia Battery Corporation (IBC), and Chinese battery specialist Ningbo Contemporary Brunp Lygend (CBL). Their combined strengths in mining, investment, and production create a fully integrated supply chain for EV battery manufacturing.

Economic and environmental impact of the EV battery

The EV battery project is expected to transform Indonesia’s economic profile significantly:

Job creation: 35,000 planned new jobs in mining, factory operations, and recycling.
Economic boost: Up to $42 billion added to GDP through vertical integration and exports.
Energy independence: Annual savings of 300,000 kiloliters in fuel imports.
Sustainable growth: Encourages a circular economy with battery recycling embedded in the system.

EV battery project aligns with global supply chain trends

Global automakers are diversifying EV battery supply chains to reduce dependence on China. Indonesia’s EV battery will help meet this demand, offering nickel- and battery-rich solutions. With the project’s scale and state backing, it positions Indonesia as a key supplier in the global EV battery ecosystem.

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Regional spread and future expansions

Though headquartered in West Java, about 75% of total investment will flow to North Maluku province. This geographical spread ensures broad-based development and resource utilization across the country, reinforcing Indonesia’s long-term EV battery ambitions.

Battery project and rural livelihoods

Beyond urban centres, the EV battery project promises substantial rural uplift. Mining operations, transportation networks, and factory construction will boost local incomes and infrastructure development in remote regions, contributing to equitable growth across provinces.

Battery project timing and strategic timing

The global shift toward EV adoption coincides with Indonesia’s EV battery project timeline. With numerous automakers pledging carbon neutrality, demand for reliable EV battery supply chains is surging. The project is well-positioned to meet this demand and attract long-term investment.

EV battery project and recycling

A unique element of the battery project is its integrated recycling capability. Battery production and recycling in the same complex reduces environmental impact, ensures resource efficiency, and enables closed-loop systems—lessening dependence on virgin supplies.

Challenges and mitigation

Key challenges to the battery project include:

Technical expertise and skilled workforce development
Environmental safeguards for large-scale mining
Coordination across multiple sites and entities

However, strong governmental backing, international partnerships, and modern clean-tech approaches can help Indonesia address these challenges.

battery project: Indonesia’s green industrial leap

By combining resource wealth, strategic planning, and global cooperation, Indonesia’s EV battery project aims to cement the country’s status as a global EV battery hub. It shifts from raw exports to added-value manufacturing, builds rural economies, and supports the global transition to electric mobility.