Prabowo to launch Indonesia’s first electric vehicle Battery Export

JAKARTA, 8 OCTOBER 2026 —

Indonesia’s Prabowo Subianto Launches $10.2 Billion EV Battery Export and Industrial Push in North Maluku

President Prabowo Subianto will on Thursday launch Indonesia’s first export of electric vehicle batteries from the Indonesia Weda Bay Industrial Park in Central Halmahera, North Maluku, marking a milestone in the country’s $10.2 billion downstream industrial development program. The move shows Jakarta’s push to transform its vast nickel reserves into high-value battery components, reducing reliance on raw material exports and positioning Indonesia as a key player in the global EV supply chain.

The initiative follows Indonesia’s 2020 ban on raw nickel ore exports, a policy designed to force domestic processing and attract foreign investment into smelters and battery manufacturing. With the new projects, the government aims to further diversify its economy by increasing the value added to its mineral resources, a strategy that could reshape regional industrial dynamics and draw competition from Malaysia’s own battery and EV supply chain ambitions.

Prabowo, accompanied by a delegation including Coordinating Minister for Downstreaming and Energy Transition Bahlil Lahadalia, Coordinating Minister for Human Development and Cultural Affairs Sugiono, and Housing Minister Maruarar Sirait, departed from Halim Perdanakusuma Air Base in East Jakarta on Thursday morning.

Cabinet Secretary Teddy Indra Wijaya announced the president would oversee the commercialization of four industrial projects and the groundbreaking of seven new ones at the Weda Bay Industrial Park, collectively valued at $10.2 billion (Rp 180 trillion).

The battery export, the centerpiece of the visit, represents the first shipment of EV battery components from Indonesia, a development that aligns with the government’s broader goal of establishing a vertically integrated supply chain. According to Teddy, the 11 projects—ranging from battery production to downstream processing—will strengthen Indonesia’s industrial competitiveness and generate higher economic returns from its mineral wealth.

The Weda Bay park, developed in partnership with private investors, has already attracted significant foreign capital, including commitments from Chinese and South Korean firms.

Indonesia’s nickel sector has been at the forefront of this transformation. As the world’s second-largest nickel producer, the country holds some of the largest reserves globally, but past decades saw most of its output shipped abroad as raw ore. The 2020 export ban forced domestic smelters to expand rapidly, with Indonesia now producing refined nickel and battery precursors for global automakers.

The latest projects in North Maluku are expected to accelerate this shift, with the government targeting higher-value exports such as fully assembled batteries and EV components.

For Malaysia, a regional competitor in battery materials and EV manufacturing, Indonesia’s aggressive industrial push could intensify pressure on local players. While Malaysia has made strides in developing its own battery supply chain—including investments in lithium-ion production and partnerships with firms like LG Energy Solution—the scale of Indonesia’s $10.2 billion program and its strategic focus on nickel processing could draw further foreign capital away from Southeast Asia’s northern economies.

Malaysian policymakers have previously highlighted the need to attract similar high-value industrial projects, particularly in battery manufacturing, to avoid falling behind in the EV transition.

The Weda Bay Industrial Park’s development has been a priority for Prabowo’s administration, which has framed it as a cornerstone of Indonesia’s energy transition and economic diversification. The park’s location in North Maluku, a region with abundant nickel deposits, was chosen to leverage local resources while reducing logistical costs.

The government has also offered tax incentives and streamlined permits to accelerate construction, with the first phase of projects expected to begin operations within the next two years.

As Prabowo’s delegation arrives in Central Halmahera, the focus will be on securing further private sector commitments to ensure the projects meet their timelines. The successful launch of battery exports and the commencement of construction on the seven new facilities will serve as a litmus test for Indonesia’s ability to execute its industrial ambitions.

With global demand for EV batteries surging, the country’s ability to deliver on these commitments could determine its long-term role in the supply chain—and whether it can surpass Malaysia and other regional rivals in attracting critical downstream investments.