Indonesian President Jokowi rode a Genesis G80 EV to officiate LG's RM 43 billion EV battery materials plant

South Korean electric vehicle (EV) battery manufacturer LG Energy Solution broke ground yesterday for its nickel processing plant in Indonesia.

The plant is part of LG’s USD 9.8 billion (~RM 43.1 billion) investment into Indonesia’s integrated electric battery industry at the Batang Industrial Estate (KITB) in Central Java province.

The Batang Industrial Estate is a first of its kind industrial facility in South East Asia, integrating upstream and downstream production process of EVs, including nickel mining, smelter facility, precursor factory, cathode factory, electric batteries production, battery packs production, EV production, as well as battery recycling industry.

The ground breaking of the industrial estate (now in phase 2 of its construction) was officiated by Indonesian President Joko Widodo (Jokowi).

“The total amount of the investment is not a pittance. It is worth Rp142 trillion or USD 9.8 billion. And I am pleased that there will be 20,000 people that can be employed. It is not a small amount. All around the world, job creation is the key,” the President said.

Indonesia has the world’s biggest reserves for nickel but the country has since banned export of the mineral required for battery manufacturing. Instead, foreign companies are invited to invest in setting up EV battery ecosystem in Indonesia, which will create more jobs and return far higher value than just exporting raw materials.

Jokowi travelled to the site in a Genesis Electrified G80 with registration plate RI 1, RI for Republic of Indonesia. A fleet of Genesis Electrified G80 will be used as official cars of November’s G20 Bali Summit.

Also read: Genesis Electrified G80 reporting for duty at the G20 Summit in Bali, Indonesia

“I have the opportunity to try Genesis, an electric car from Hyundai. I notice the vehicle is smooth, with no sound,” President Jokowi said.

For Jokowi, his endorsement of the fully electric sedan by Hyundai’s luxury arm Genesis is also a diplomatic gesture to Korea.

“The Hyundai Genesis G80 electric car will become the official car for the G20 Summit as a showcase for the cooperation of the Republic of Indonesia and the Republic of Korea,” said Jokowi in March when he announced the official car for the G20 Summit.