Tesla May Build A Battery Plant In Indonesia
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Tesla is reportedly planning to build a facility for making batteries in Indonesia a report by CNBC revealed. “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,” says the report.
“I said you put the investment here today, we will give the reserves. So, if we always change from commodity base to downstream. So, we see production downstream. That will turn Indonesia into a great country into the global supply chain,” said Indonesia’s coordinating minister of maritime affairs and investment, Luhut Binsar Pandjaitan.
Reportedly, this facility would come up in Batang. All this comes after Tesla CEO Elon Musk pleased with mining companies to increase their Nickel production. Tesla was already in talks with the Indonesian government for building a new venture for nickel as the South East Asian country has rich reserves of the mineral.
Indonesia has banned exporting Nickel which could be one of the reasons why Tesla is now keeping to invest in the country. Tesla has already outlined its vision for scaling the production of its batteries to 200 GWh by 2023 and 3 TWh by 2030 and the only way it will achieve this ambitious target is by having a facility in Indonesia.
Questions & Answers
Q.Which Indonesian official confirmed Tesla's reported plans for a battery factory?
Which Indonesian official confirmed Tesla's reported plans for a battery factory?
Indonesia's Minister of Industry, Agus Gumiwang, confirmed the plans. He stated that Tesla would be directed to build their facility in Batang, and discussions between Tesla and the government are still ongoing.
Q.Why is Tesla reportedly considering Indonesia for a battery production facility?
Why is Tesla reportedly considering Indonesia for a battery production facility?
Tesla was already discussing a nickel venture with Indonesia due to the country's rich reserves of the mineral. Also, Indonesia has banned nickel exports, which may encourage Tesla to invest directly in the country.
Q.What is Tesla's stated production target for batteries that this facility might help achieve?
What is Tesla's stated production target for batteries that this facility might help achieve?
Tesla aims to scale its battery production to 200 GWh by 2023 and an ambitious 3 TWh by 2030. A facility in Indonesia is considered a crucial step to meet these ambitious targets.
Q.What is the Indonesian government's motivation for attracting this investment?
What is the Indonesian government's motivation for attracting this investment?
The Indonesian government sees this as an opportunity to move from a commodity-based economy to a downstream production model. This strategy aims to integrate Indonesia into the global supply chain, turning it into a great country.