Through a joint investment cooperation, both nations will build production facilities in both Indonesia and the UK. He delivered the statement during the 2021 National Coordination Meeting and Investment Service Award here on Wednesday.
"Yesterday, the President (Jokowi) spoke with Prime Minister Boris and I was there, and we encourage this form of cooperation. We invest in the UK, and they invest in Indonesia. That way, we can enter the global supply chain (as I have mentioned) earlier," the minister explained.
However, Pandjaitan did not divulge details on the value of the investment plan, including the timing of its realization.
The joint investment cooperation is expected to meet the demand for cathode and battery cells for EV in the UK and Europe regions.
It is noted that the demand for cathodes and raw materials in Europe and the UK is expected to continue to increase until 2030.
Related news: Indonesia owns nine companies supporting EV battery industry
Later, the material for EV batteries and battery precursors will be produced in Indonesia through an Indonesian-British joint investment company.
The material will be used to meet material requirements for a cathode factory that is a joint investment in the UK.
Material supplied from Indonesia is then exported to a joint investment company in the UK, which will become a producer of cathodes, battery cells, and battery packs.
Nickel processing from ore to electric vehicle batteries starts from nickel ore, nickel and cobalt sulfate, battery precursors, cathodes, battery cells, and battery packs, ESS, charging stations to recycling.
President Jokowi hosted a meeting with several CEOs of large companies in the UK that resulted in an investment commitment worth US$9.29 billion that focused on green investment.
British Prime Minister Boris Johnson has expressed the UK's interest in investing in Indonesia upon meeting with President Joko Widodo while prioritizing support for Indonesia's economic transition.
The UK will prepare export credits that can be used to support economic transition cooperation with Indonesia.
Related news: EV utilization target reflects commitment to cutting emissions
Related news: Karawang's EV battery factory to absorb 1,100 direct work force: govt