E-car maker Tesla plans investment in Indonesia

Tesla Model S at a charging station

US electric vehicle maker Tesla is in early talks with the Indonesian government on a potential investment, Reuters cited Ayodhia Kalake, a senior official at Indonesia’s Coordinating Ministry for Maritime and Investment Affairs.

While Kalake did not reveal what the investment would be about, it has possibly to do with battery production and the use of nickel, of which Indonesia is a major producer. The country in fact provides 25 per cent of the world’s nickel resources.

Securing a venture in Indonesia could then be considered by Tesla as a way to strengthen its battery supply chain to a notable degree. Such efforts may very well be a strategic move from the electric car maker, seeing as Indonesia has stopped exports of unprocessed nickel ore to support investments in its domestic industries.

Indonesia last month said it had secured a deal to build a lithium battery plant in the country together with South Korea’s LG Chem and China’s battery manufacturer Contemporary Amperex Technology (CATL). LG Chem and CATL are currently battery partners for Tesla. According to recent reports, Tesla is looking to acquire a ten-per cent stake in LG Chem when it gets spun off into its own business, LG Energy Solution.

Elon Musk promises “giant” contracts with nickel miners

There is also an Indonesian nickel smelting project being built by China’s Tsingshan Group and partners to produce battery-grade chemicals.

Tesla’s focus on nickel was made evident during the second-quarter earnings call, when founder and CEO Elon Musk urged miners across the industry to supply as much nickel as they could. Musk noted that miners could expect “giant” contracts with Tesla provided that their nickel was produced in an efficient and environmentally-conscious manner. So far, several nickel miners have already answered Tesla’s call, including Canada’s Giga Metals and Brazil’s Vale. 



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Tesla Model S at a charging station US electric vehicle maker Tesla is in early talks with the Indonesian government on a potential investment, Reuters cited Ayodhia Kalake, a senior official at Indonesia’s Coordinating Ministry for Maritime and Investment Affairs. While Kalake did not reveal what the investment would be about, it has possibly to do with battery production and the use of nickel, of which Indonesia is a major producer. The country in fact provides 25 per cent of the world’s nickel resources. Securing a venture in Indonesia could then be considered by Tesla as a way to strengthen...

Tesla Model S at a charging station

US electric vehicle maker Tesla is in early talks with the Indonesian government on a potential investment, Reuters cited Ayodhia Kalake, a senior official at Indonesia’s Coordinating Ministry for Maritime and Investment Affairs.

While Kalake did not reveal what the investment would be about, it has possibly to do with battery production and the use of nickel, of which Indonesia is a major producer. The country in fact provides 25 per cent of the world’s nickel resources.

Securing a venture in Indonesia could then be considered by Tesla as a way to strengthen its battery supply chain to a notable degree. Such efforts may very well be a strategic move from the electric car maker, seeing as Indonesia has stopped exports of unprocessed nickel ore to support investments in its domestic industries.

Indonesia last month said it had secured a deal to build a lithium battery plant in the country together with South Korea’s LG Chem and China’s battery manufacturer Contemporary Amperex Technology (CATL). LG Chem and CATL are currently battery partners for Tesla. According to recent reports, Tesla is looking to acquire a ten-per cent stake in LG Chem when it gets spun off into its own business, LG Energy Solution.

Elon Musk promises “giant” contracts with nickel miners

There is also an Indonesian nickel smelting project being built by China’s Tsingshan Group and partners to produce battery-grade chemicals.

Tesla’s focus on nickel was made evident during the second-quarter earnings call, when founder and CEO Elon Musk urged miners across the industry to supply as much nickel as they could. Musk noted that miners could expect “giant” contracts with Tesla provided that their nickel was produced in an efficient and environmentally-conscious manner. So far, several nickel miners have already answered Tesla’s call, including Canada’s Giga Metals and Brazil’s Vale. 



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

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