"I am happy that the second phase of development of the integrated electric battery industry has begun," Jokowi noted in his remarks broadcast live on the official YouTube channel of the Presidential Secretariat, Wednesday.
The electric battery industry, which was built through investment of the South Korean company, LG, was the first investment in the world to integrate the production of electric vehicles from upstream to downstream, according to Jokowi.
"Starting from nickel mining, smelters, precursor factories, and cathode factories, then electric batteries, battery packs, to electric cars, and the battery recycling industry. From upstream to downstream, end to end, everything is included in this investment," the president elaborated.
Furthermore, the head of state was pleased with the upstream to downstream investments spread across several regions in Indonesia.
Jokowi noted that nickel mining and smelting had been conducted in Halmahera, North Maluku. Meanwhile, KIT Batang will become the location for the purification, precursor, and cathode industries.
"The battery factory is being built in Karawang and the electric car factory is in Cikarang. This is very good because the factory is not only located in Java," he stated.
LG's investment amounts to Rp142 trillion, or US$9.8 billion, in the integrated electric battery industry, a figure that the president perceives as not being a small amount.
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"This investment also absorbs 20 thousand employees. This number is not small, and it is important to create job opportunities," he affirmed.
Meanwhile, Minister of Investment/Head of BKPM Bahlil Lahadalia had earlier reported that the first phase of the Batang KIT, spanning an area of 450 hectares, had been sold out, while the second phase covered an area of one thousand hectares.
"From that area, LG bought 275 hectares, followed by FoxConn, and another American company. Our target is that by the end of 2023, at least 50 percent of the 4,300 hectares in Batang will be fully occupied," he stated.
Other attendees at the event were Minister of State-Owned Enterprises Erick Thohir, Minister of Environment and Forestry Siti Nurbaya Bakar, Minister of State Secretary Pratikno, Central Java Governor Ganjar Pranowo, South Korean Ambassador to Indonesia Park Tae-sung, and President and CRO of LG Energy Solution Lee Bang-soo.
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Translator: Gilang Galiartha, Resinta S
Editor: Rahmad Nasution
Copyright © ANTARA 2022
