Jakarta – The government is accelerating the development of an integrated electric vehicle (EV) battery ecosystem from upstream to downstream as a core strategy to advance mineral downstreaming and strengthen national economic growth.
A collaborative project involving MIND ID Group, PT Industri Baterai Indonesia (IBI), and the Huayou (HYD) consortium is projected to become a key driver in enhancing the competitiveness of domestic industry.
Minister of Energy and Mineral Resources, Bahlil Lahadalia, emphasized that the government continues to promote the comprehensive development of the battery industrial chain—from nickel mining, smelters, and high pressure acid leaching (HPAL) facilities, to precursor and cathode production, and battery cell manufacturing.
The total investment value of the project is estimated at USD 7–8 billion. The initial-phase facility, with a capacity of 10 gigawatts (GW), has been operational since 2023 and will be expanded with an additional 20 GW.
“We want this project to deliver maximum added value for the nation. Downstreaming must serve as a lever for national economic growth while strengthening strategic industries at home,” Bahlil stated.
He added that the battery industrial chain generates significant economic impact—not only by increasing mineral value added, but also by promoting regional growth and reinforcing energy security.
Nickel raw material supply will be supported by PT Aneka Tambang Tbk (ANTAM). The government is targeting majority ownership to remain above 50 percent, even reaching 60–70 percent.
“This is the implementation of Article 33. Natural resources must be managed by the state and prioritized for the greatest prosperity of the people,” he stressed.
Meanwhile, Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM, Todotua Pasaribu, stated that Indonesia is determined to become a key player in the global energy transition through sustainable management of critical minerals.
“Indonesia will not merely be a participant, but a key player in the global energy transition journey,” he said.
On another front, Deputy Minister of Communication and Digital Affairs, Nezar Patria, highlighted the importance of downstreaming critical minerals to support semiconductor industry independence. At the AI Impact Summit 2026 in India, he explored potential cooperation with global industry players.
“Indonesia is committed to downstreaming critical minerals. Our abundant silica sand must be transformed into high value-added products,” Nezar affirmed.
Through the synergy of mineral downstreaming, strengthening of the battery ecosystem, and semiconductor development, Indonesia aims to secure a stronger position in the global supply chain of green and digital industries.