JakartaPost-July 13, 2023
The government is planning to coax an additional 60,000 tons of lithium per year from Australia as it strives to build a comprehensive electric vehicle (EV) industry. If agreed, the additional quota would double an earlier deal between Jakarta and Canberra. Indonesia holds the world’s largest nickel reserves, which is a strong selling point for a country striving to become a global EV production hub, but it lacks domestic supplies of lithium, a material deemed equally important for EV batteries Coordinating Maritime Affairs and Investment Minister Luhut Pandjaitan said the government hoped to increase lithium imports from Australia and become a battery production base for the Southeast Asia region and possibly the world. “Previously, we’ve discussed the import of 60,000 tons of lithium, which will be processed in Morowali starting next year. In yesterday’s meeting, I asked for another 60,000 tons, and I [suggested] that Australia participate in [some] equity [investment],” he said in an interview with CNBC Indonesia on Monday. He was referring to a meeting between President Joko “Jokowi” Widodo and Australian Prime Minister Anthony Albanese that took place on July 6. He went on to say that, under such a scheme, the lithium smelter project would be jointly owned by Indonesia and Australia. “They responded positively to the idea,” he said. EVs are pushing up demand across the world for battery metals, but those critical resources are concentrated in very few countries, causing concerns about supply chains. Read more at:
