According to CNBC Indonesia, Tesla might be laying down plans to build a dedicated battery factory in Indonesia. Indonesian officials point to ongoing talks with Tesla, saying "you put the investment here today, we will give the reserves."
The report says Tesla is currently exploring the construction of a battery factory in Indonesia. The latest news is that Tesla is being directed by the government to build its factory in the integrated industrial area of Batang, Central Java, which is being built by the government.
Minister of Industry (Menperin) Agus Gumiwang confirmed about Tesla's plan, he said that Tesla would later be directed to build a factory in Batang. Currently the discussion process between Tesla and the government is still ongoing.
The news that Tesla is interested in building a battery factory in Indonesia has been growing since last month. Even the Coordinating Minister for Maritime Affairs and Investment, General TNI (Purn)
"Before I end my remarks, I would like to convey again that there are many who are interested in investing in Indonesia, I just received a call from Tesla in America, they are also interested in building a lithium battery (factory) in Indonesia," said Luhut Wednesday (9/9/2020).
According to Luhut, Tesla's management is interested in investing because Indonesia has the largest nickel reserves in the world. Tesla's management even asked whether the country's nickel reserves were adequate.
"I said you put the investment here today, we will give the reserves," said Luhurt.
The government's efforts to bring Tesla to build a factory to Batang are not surprising. This area is indeed prepared for factory relocation from outside with incentives for free land leases for 10 years. In fact, as many as 153 foreign and foreign companies have queued to enter Indonesia, including Batang.
Armen Hareyan is the founder and the Editor in Chief of Torque News. He founded TorqueNews.com in 2010, which since then has been publishing expert news and analysis about the automotive industry. He can be reached at Torque News Twitter, Facebok, Linkedin and Youtube.