Fueled by statistics showing it produced over half the world's battery-grade nickel last year, Indonesia isn't just mining minerals but is now charging ahead at full power as a global battery production hub.
Key Takeaways
- In 2023, Indonesia's nickel production for battery-grade materials reached 1.62 million metric tons, accounting for 51% of global supply
- PT Indonesia Morowali Industrial Park produced 120,000 tons of battery-grade nickel sulphate in 2023 from its HPAL facilities
- Karawang New Industry City battery precursor plant achieved 50,000 tons annual output of NCM precursors in Q4 2023
- Indonesia plans 50 GWh battery cell production capacity by end of 2024 across 3 gigafactories
- PT HKML's Batam Giga 1 factory has 10 GWh annual capacity for LFP cells operational by mid-2024
- IMIP's HPAL expansion to add 120,000 tons nickel sulphate capacity by Q4 2024
- LG Energy Solution announced $9.8 billion investment for 10 GWh+ battery plants in Indonesia by 2024
- Hyundai-LG HKML joint venture invests $1.1 billion in Batam Giga 1 factory operational 2024
- Tsingshan Holding commits $5 billion to IMIP battery materials expansion through 2024
- Indonesia holds 21 million tons nickel reserves, 52% of global total for battery use
- 2023 nickel ore production was 90 million dry metric tons from 200+ mines
- Class 1 battery-grade nickel supply from Indonesia 600,000 tons in 2023
- Indonesia battery market size projected $5.2 billion by 2025 with 25% CAGR from 2023
- EV battery demand in Indonesia to reach 20 GWh annually by 2027
- Nickel exports for batteries valued $15 billion in 2023
Indonesia's battery industry is rapidly expanding across production and supply chains.
Capacity Expansion
- Indonesia plans 50 GWh battery cell production capacity by end of 2024 across 3 gigafactories
- PT HKML's Batam Giga 1 factory has 10 GWh annual capacity for LFP cells operational by mid-2024
- IMIP's HPAL expansion to add 120,000 tons nickel sulphate capacity by Q4 2024
- Weda Bay Nickel-Cobalt refinery targets 20 GWh equivalent precursor capacity by 2024 end
- Karawang Giga factory by IBC to reach 15 GWh NMC cell capacity in 2024 Phase 1
- PT BTRIME's second HPAL line adds 60,000 tons MHP capacity operational 2024
- Central Java battery cluster plans 5 GWh pack assembly capacity by 2024
- PT Nicel’s RKEF+HPAL hybrid to boost 100,000 tons battery nickel capacity 2024
- BASF-HPPL joint venture cathode plant in Bekasi at 40,000 tons annual by 2024
- PT CNGR's second precursor line adds 50,000 tons NCM capacity in 2024
- Morowali SEZ total battery material capacity to hit 300,000 tons by end 2024
- PT QMB's Obi Island HPAL Phase 2 adds 80,000 tons NiSO4 capacity 2024
- Halmahera Tengah battery park plans 10 GWh cell capacity start 2024
- PT Vale's Pomalaa project adds 50,000 tons HPAL capacity by 2024
- Harita Group's Dairi Prima adds 30,000 tons precursor capacity 2024
- Sulawesi battery ecosystem targets 200,000 tons nickel chemicals capacity 2024
- PT Merdeka Battery Materials' HPAL in Weda Bay at 110,000 tons by 2024
- Jawa Barat Giga 2 factory allocates 20 GWh for EV packs by 2024
- PT Virtue Silicon's anode plant 10,000 tons capacity online 2024
- Electrolyte gigafactory in Banten targets 20,000 tons annual by 2024
- Separator production hub in Bekasi at 100 million sqm capacity 2024
- Copper foil mill expansion to 20,000 tons in Morowali by 2024
- Aluminum current collector capacity 30,000 tons planned 2024 Indonesia
- Binder chemical plant 5,000 tons capacity start 2024 in Java
- PT Antam's HPAL pilot adds 10,000 tons capacity 2024
- Total national battery GWh capacity projected 140 GWh by 2030 with 30 GWh interim 2024
Capacity Expansion Interpretation
Indonesia is assembling its battery ecosystem like a high-stakes IKEA project, aiming for 50 GWh of cells by 2024, but if you look at the torrent of nickel sulphate, precursors, and gigafactories all sprinting toward the same finish line, the real story isn't the raw ambition—it’s whether the pieces will fit together before the global EV race leaves the showroom.
Investment and Partnerships
- LG Energy Solution announced $9.8 billion investment for 10 GWh+ battery plants in Indonesia by 2024
- Hyundai-LG HKML joint venture invests $1.1 billion in Batam Giga 1 factory operational 2024
- Tsingshan Holding commits $5 billion to IMIP battery materials expansion through 2024
- CATL partners with Brunp for $2 billion 20 GWh cell plant in Karawang by 2024
- BASF invests $310 million in cathode material JV with HKML in Bekasi
- CNGR Advanced Material $500 million for precursor plants in Morowali SEZ
- Eramet and BASF $1.2 billion HPAL in Weda Bay for 60,000 tons Ni/Co
- PT Indonesia Battery Corp receives $200 million gov't seed for Giga 1
- Vale Indonesia $2 billion Pomalaa HPAL project with Ford backing
- Harita Nickel $800 million Obi HPAL expansion with POSCO
- Merdeka Copper Gold $1.5 billion battery materials in Weda Bay
- QMB New Energy Materials $600 million Obi Island HPAL
- PT BTRIME $400 million second HPAL line funding from China
- Nicel Stainless $300 million RKEF upgrade for battery nickel
- Virtue Dragon Nickel Cobalt $250 million MHP plant expansion
- Antam and Jindal $1 billion HPAL in Kolaka
- PLN and IBC $500 million for battery storage integration plants
- Foreign direct investment in battery sector reached $15 billion committed by Q3 2023
- Samsung SDI explores $2 billion JV for pack assembly in Indonesia
- BYD partners local firm for $1 billion 30 GWh cell plant by 2025 start 2024
- Total FDI inflows to nickel-battery chain $20.6 billion as of 2023
- PT Tripatra secures $100 million EPC for multiple battery lines
- Alfamitra Group invests $300 million in downstream battery chemicals
- Indonesia sovereign wealth fund INA allocates $5 billion to battery ecosystem
- Mitsubishi Corp $400 million for nickel supply chain JV
- Total gov't incentives for battery industry exceed $3 billion tax breaks by 2023
Investment and Partnerships Interpretation
With announcements of over $20 billion flooding into Indonesia's nickel-rich battery ecosystem, the world is essentially pre-ordering its electric future from a nation that shrewdly decided to stop just shipping out the raw ingredients and start building the whole damn dish.
Market Projections and Exports
- Indonesia battery market size projected $5.2 billion by 2025 with 25% CAGR from 2023
- EV battery demand in Indonesia to reach 20 GWh annually by 2027
- Nickel exports for batteries valued $15 billion in 2023
- Domestic EV sales requiring 5 GWh batteries projected for 2025
- Battery pack exports from Indonesia targeted $2 billion by 2025
- ASEAN battery market share for Indonesia 15% by 2030 forecast
- LFP battery segment to dominate 60% of Indonesian market by 2026
- ESS battery demand 10 GWh by 2030 for grid storage Indonesia
- Export volume of nickel sulphate to China 200,000 tons projected 2024
- Indonesia's share in global battery supply chain 10% by 2030
- Two-wheeler EV batteries 70% market share projection 2025 Indonesia
- Battery import substitution rate to hit 80% by 2027 policy target
- Revenue from battery industry $25 billion projected 2030 GDP contribution
- Exports to Europe under CBAM compliant nickel 50,000 tons start 2024
- Consumer battery market growth 12% CAGR to $1.5 billion by 2028
- Industrial battery demand for mining equipment 2 GWh by 2026
- Policy mandates 100% local batteries for gov't EVs by 2026
- Global OEM off-take agreements secure 50 GWh sales by 2030
- Price of battery nickel from Indonesia averaged $18,000/mt in 2023 forecast $20k 2024
- Market cap of listed battery firms in IDX $10 billion by end 2024 proj
- Job creation projection 100,000 direct in battery sector by 2025
- Carbon credit revenue potential $500 million annual from green nickel 2030
- FTA with EU boosts battery exports 30% growth projected 2025-2030
- Digital battery trading platform launches handling $1 billion volume 2024
- Warranty standards for local batteries set to 8 years/160,000 km by 2025
- Refined nickel export quota set at 60% domestic use rest export 2024 policy
- Battery recycling market $200 million by 2030 with 20% recovery rate
Market Projections and Exports Interpretation
Indonesia is sitting on a nickel-powered rocket ship, building a $25 billion domestic battery empire from the ground up so it can stop shipping its resources to China and start powering everything from local motorbikes to European cars.
Nickel Supply Chain
- Indonesia holds 21 million tons nickel reserves, 52% of global total for battery use
- 2023 nickel ore production was 90 million dry metric tons from 200+ mines
- Class 1 battery-grade nickel supply from Indonesia 600,000 tons in 2023
- Saprolite ore for HPAL processing 25 million tons mined in 2023 Sulawesi
- Limonite ore feedstock for RKEF smelters 40 million tons processed 2023
- PT Antam produced 80,000 tons nickel ore for battery chain in 2023
- Vale Halmahera mined 17 million tons ore with 1.4% Ni grade average 2023
- Harita Nickel Obi operations extracted 22 million tons saprolite 2023
- PT ICBP mined 15 million tons high-grade limonite for HPAL 2023
- Cobalt co-production from nickel laterites 2,500 tons in 2023 Indonesia
- Manganese ore supply for LFP batteries 1 million tons local 2023
- Graphite imports substituted by 50,000 tons synthetic production trial 2023
- Lithium carbonate imports for cathodes 10,000 tons despite local exploration
- Copper raw material for foils 20,000 tons processed locally 2023
- Supply chain localization rate for battery materials reached 60% in 2023
- Weda Bay mine supplies 15 million tons ore annually to refinery chain
- IMIP consumes 30 million tons ore for its smelters and HPAL 2023
- Export ban on raw ore boosted domestic processing to 75 million tons 2023
- Laterite nickel resource base 5.2 billion tons in Indonesia
- HPAL feedstock quality improved to 1.3% Ni average in 2023 plants
- Cobalt hydroxide intermediate supply 3,000 tons from Morowali 2023
- SCM integration score for nickel-battery chain 85% by major players 2023
- Local content requirement met at 40% for battery materials 2023
- PT Merdeka's HPAL secured 20 million tons ore reserve supply
- Recycling pilot recovers 500 tons nickel from spent batteries 2023
- Logistics cost for nickel ore reduced 20% via new rail to port 2023
- Traceability system covers 90% of battery nickel supply chain 2023
Nickel Supply Chain Interpretation
Indonesia has masterfully transformed its staggering nickel wealth into a nearly self-sufficient battery empire, but the real alchemy lies in its relentless drive to capture every last drop of value from mountain to megawatt.
Production Statistics
- In 2023, Indonesia's nickel production for battery-grade materials reached 1.62 million metric tons, accounting for 51% of global supply
- PT Indonesia Morowali Industrial Park produced 120,000 tons of battery-grade nickel sulphate in 2023 from its HPAL facilities
- Karawang New Industry City battery precursor plant achieved 50,000 tons annual output of NCM precursors in Q4 2023
- Indonesia's overall battery cell production hit 2.4 GWh in 2023, primarily LFP cells from pilot lines
- PT HKML Battery Indonesia commenced production of 5 GWh LFP pouch cells in 2023 at its Batam plant
- Annual output of nickel matte for battery supply from IMIP reached 300,000 tons in 2023
- PT BTRIME's HPAL plant in Morowali produced 30,000 tons of MHP for cathode materials in 2023
- Indonesia exported 450,000 tons of battery-grade nickel products in 2023, up 25% YoY
- PT Nicel Stainless Steel's RKEF smelter supplied 200,000 tons of NPI convertible to battery nickel in 2023
- Battery chemical production at Weda Bay Industrial Park hit 40,000 tons of nickel sulphate equivalent in 2023
- Indonesia's first cathode active material plant by BASF in Bekasi produced 10,000 tons trial run in late 2023
- PT Indonesia Battery Corporation's pilot line outputted 500 MWh of LFP cells in 2023
- Morowali Industrial Park's total battery precursor capacity utilization reached 75% in 2023 producing 80,000 tons
- PT CNGR Advanced Material's precursor plant in Indonesia output 25,000 tons NCM523 in 2023
- Nickel pig iron production for battery feedstock in Sulawesi was 1.1 million tons in 2023
- PT QMB New Energy's HPAL facility produced 15,000 tons battery-grade nickel in Q3 2023
- Indonesia's graphite anode material trial production reached 2,000 tons in 2023 at experimental plants
- Electrolyte solution production for EV batteries started at 1,000 tons capacity in 2023 by local firms
- Separator film output for lithium batteries was 500,000 sqm in 2023 from imported lines localized
- PT Tripatra's module assembly for batteries produced 100,000 units of 50Ah modules in 2023
- Copper foil production for anodes reached 5,000 tons in 2023 at new Indonesian lines
- Aluminum foil for cathodes output was 8,000 tons from local rolling mills in 2023
- Binder materials for electrodes produced 1,500 tons domestically in 2023
- PT Vale Indonesia supplied 50,000 tons of nickel concentrate for battery chain in 2023
- Harita Nickel’s Obi plant produced 60,000 tons class 1 nickel for batteries in 2023
- PT Virtue Dragon Nickel Cobalt produced 20,000 tons MHP in 2023
- Indonesia's pyrometallurgical nickel for batteries output grew to 900,000 tons in 2023
- Hydrometallurgical battery nickel production was 200,000 tons across 5 plants in 2023
- Cathode foil processing capacity utilized 70% producing 12,000 tons in 2023
- Anode material synthesis trial yielded 3,000 tons graphite-silicon blend in 2023
Production Statistics Interpretation
Indonesia is hastily constructing a battery empire from nickel upwards, and while the world is just starting to tune in, the production lines are already humming with a "just try and stop us" sort of energy.
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