Foxconn to establish electric vehicle supply chain in Indonesia
Taiwan-headquartered Hon Hai Precision Industry, doing business as Foxconn Technology Group, said it plans to invest in building manufacturing facilities for electric vehicle components and other products in Indonesia, according to local reports.
The company, widely known as assembler of Apple’s iPhone and other popular electronic gadgets, has been inspired by the Indonesian government’s roadmap to establish the country as a regional electric vehicle and components manufacturing hub, a spokesperson said.
Indonesia has an abundance of raw materials such as nickel, giving it a key advantage over other countries in the region. Last year the country set up a new state-owned enterprise, called PT Industri Baterai Indonesia, tasked with driving the establishment of an industry focused on the production of electris vehicle batteries and related raw materials. This has attracted interest from many potential foreign investors.
Indonesia seeks to build an electric vehicle battery industry ecosystem
The Indonesian government is now looking for strategic partners to invest a total of $15 billion in the next several years to establish 140 gigawatt-hours of annual electric vehicle battery manufacturing capacity in the country. The investment would also include local mining operations for nickel-rich ore as well as two new hi-tech ore processing and smelting facilities.
Foxconn, for its part, has been very active in the recent past in establishing a presence in the global electric vehicle supply chain. Last year it signed agreements to jointly produce electric vehicle platforms and components in partnership with companies in Thailand, China and the US. It has also developed a flexible electric vehicle platform, the MIH, and a related supply chain. The company last October further revealed three electric vehicles – a sedan, an SUV and a bus – under its new “Foxtron” brand.
In January 2022, Foxconn announced it had signed an agreement with PT Industri Baterai Indonesia, local energy and mining company PT Indika Energy and Taiwan’s electric motorcycle battery-swapping company Gogoro, to build a sustainable energy ecosystem in Indonesia. The investment is expected to focus initially on supplying components for battery-powered motorcycles and for electric passenger and commercial vehicles late on.
Manufacturing base in Central Java for $8 billion
Bahlil Lahadalia, Indonesia’s investment minister and head of country’s the investment coordinating board, said that the government signed a memorandum of understanding with Foxconn and other partners agreeing to set up a manufacturing base in the Batang area of Central Java with investments of about $8 billion.
Foxconn has agreed to produce electric vehicle components including electric motors and batteries and also relocate telecommunications equipment manufacturing operations from China, including smart-phone assembly operations, Lahadalia added.
[caption id="attachment_38196" align="alignleft" width="300"] Foxconn's own electric vehicle platform MIH[/caption] Taiwan-headquartered Hon Hai Precision Industry, doing business as Foxconn Technology Group, said it plans to invest in building manufacturing facilities for electric vehicle components and other products in Indonesia, according to local reports. The company, widely known as assembler of Apple’s iPhone and other popular electronic gadgets, has been inspired by the Indonesian government’s roadmap to establish the country as a regional electric vehicle and components manufacturing hub, a spokesperson said. Indonesia has an abundance of raw materials such as nickel, giving it a key advantage over other countries in...
Taiwan-headquartered Hon Hai Precision Industry, doing business as Foxconn Technology Group, said it plans to invest in building manufacturing facilities for electric vehicle components and other products in Indonesia, according to local reports.
The company, widely known as assembler of Apple’s iPhone and other popular electronic gadgets, has been inspired by the Indonesian government’s roadmap to establish the country as a regional electric vehicle and components manufacturing hub, a spokesperson said.
Indonesia has an abundance of raw materials such as nickel, giving it a key advantage over other countries in the region. Last year the country set up a new state-owned enterprise, called PT Industri Baterai Indonesia, tasked with driving the establishment of an industry focused on the production of electris vehicle batteries and related raw materials. This has attracted interest from many potential foreign investors.
Indonesia seeks to build an electric vehicle battery industry ecosystem
The Indonesian government is now looking for strategic partners to invest a total of $15 billion in the next several years to establish 140 gigawatt-hours of annual electric vehicle battery manufacturing capacity in the country. The investment would also include local mining operations for nickel-rich ore as well as two new hi-tech ore processing and smelting facilities.
Foxconn, for its part, has been very active in the recent past in establishing a presence in the global electric vehicle supply chain. Last year it signed agreements to jointly produce electric vehicle platforms and components in partnership with companies in Thailand, China and the US. It has also developed a flexible electric vehicle platform, the MIH, and a related supply chain. The company last October further revealed three electric vehicles – a sedan, an SUV and a bus – under its new “Foxtron” brand.
In January 2022, Foxconn announced it had signed an agreement with PT Industri Baterai Indonesia, local energy and mining company PT Indika Energy and Taiwan’s electric motorcycle battery-swapping company Gogoro, to build a sustainable energy ecosystem in Indonesia. The investment is expected to focus initially on supplying components for battery-powered motorcycles and for electric passenger and commercial vehicles late on.
Manufacturing base in Central Java for $8 billion
Bahlil Lahadalia, Indonesia’s investment minister and head of country’s the investment coordinating board, said that the government signed a memorandum of understanding with Foxconn and other partners agreeing to set up a manufacturing base in the Batang area of Central Java with investments of about $8 billion.
Foxconn has agreed to produce electric vehicle components including electric motors and batteries and also relocate telecommunications equipment manufacturing operations from China, including smart-phone assembly operations, Lahadalia added.
