Jakarta (Agencies): Indonesia has officially launched construction of Southeast Asia’s largest integrated electric vehicle (EV) battery production facility in Karawang, West Java, marking a major milestone in its ambition to become a regional EV manufacturing powerhouse.
The $5.9 billion project is a joint venture between Indonesia’s state-owned mining firm Aneka Tambang (Antam), the Indonesia Battery Corporation (IBC), and a Chinese consortium led by global battery giant Contemporary Amperex Technology Co. Limited (CATL), along with Brunp Recycling and Lygend Resources.
The groundbreaking ceremony, held on June 29, was led by President Prabowo Subianto, who hailed the initiative as a “colossal breakthrough” in Indonesia’s industrial transformation. The facility, located on a 3,000-hectare site at Artha Industrial Hills, is expected to generate 8,000 direct jobs and up to 35,000 indirect employment opportunities.
The Karawang plant will initially produce 6.9 GWh of battery capacity, scaling up to 15 GWh in its second phase. It will be powered by a mix of energy sources, including coal, gas, waste heat recovery, and 172 MWp of solar power, reflecting a commitment to sustainability.
The project also includes 18 supporting infrastructure developments, such as a multipurpose seaport, and is part of a broader upstream-to-downstream strategy that includes nickel mining and smelting operations in East Halmahera, North Maluku.
President Prabowo emphasized that the initiative aligns with Indonesia’s goal of processing its natural resources into high-value products, reducing reliance on raw exports, and boosting national prosperity. Chinese Ambassador Wang Lutong and senior Indonesian ministers attended the ceremony, underscoring the strategic importance of the bilateral partnership.
Commercial operations are slated to begin by late 2026, positioning Indonesia as a key player in the global EV supply chain.