China's Huayou to Take Over LG's US$8.6 Billion EV Battery Project in Indonesia
The Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) has revealed that Chinese company Huayou will continue the electric vehicle (EV) project previously undertaken by LG.
Minister of Investment and Downstreaming and BKPM Head Rosan Roeslani explained that the total value of the project previously built by LG reached US$9.8 billion (approximately Rp165.5 trillion at an exchange rate of Rp16,885 per US dollar). Of that amount, unrealised investment stands at US$8.6 billion (approximately Rp145.2 trillion).
Rosan confirmed that figure would become Huayou's commitment. "Definitely, US$8.6 billion," Rosan said when met in Jakarta on Thursday (24/4/2025), as reported by Antara.
BKPM Deputy for Investment Promotion Nurul Ichwan added that the EV battery project, named the Indonesia Grand Package, has so far been realised to the tune of US$1.2 billion (approximately Rp20.2 trillion). He confirmed that Huayou would bear the majority of the remaining unrealised investment.
"Huayou certainly won't be alone; they will collaborate with other partners whom we will also try to approach," said Nurul. "But what is clear is that Huayou is very clear — they will contribute to the majority of this ecosystem," he continued.
Previously, Rosan stated that LG Energy Solution is still investing in Indonesia. LG has even realised investment worth US$1.1 billion (approximately Rp18.56 trillion) in one of its joint venture projects.
According to Rosan, LG built a large battery ecosystem comprising four joint ventures with a total value of US$9.8 billion (approximately Rp165.3 trillion). The four joint ventures encompass investment in nickel mining, precursor production, cathode, anode, cell battery, battery pack, and battery recycling.
Minister of Investment and Downstreaming and BKPM Head Rosan Roeslani explained that the total value of the project previously built by LG reached US$9.8 billion (approximately Rp165.5 trillion at an exchange rate of Rp16,885 per US dollar). Of that amount, unrealised investment stands at US$8.6 billion (approximately Rp145.2 trillion).
Rosan confirmed that figure would become Huayou's commitment. "Definitely, US$8.6 billion," Rosan said when met in Jakarta on Thursday (24/4/2025), as reported by Antara.
BKPM Deputy for Investment Promotion Nurul Ichwan added that the EV battery project, named the Indonesia Grand Package, has so far been realised to the tune of US$1.2 billion (approximately Rp20.2 trillion). He confirmed that Huayou would bear the majority of the remaining unrealised investment.
"Huayou certainly won't be alone; they will collaborate with other partners whom we will also try to approach," said Nurul. "But what is clear is that Huayou is very clear — they will contribute to the majority of this ecosystem," he continued.
Previously, Rosan stated that LG Energy Solution is still investing in Indonesia. LG has even realised investment worth US$1.1 billion (approximately Rp18.56 trillion) in one of its joint venture projects.
According to Rosan, LG built a large battery ecosystem comprising four joint ventures with a total value of US$9.8 billion (approximately Rp165.3 trillion). The four joint ventures encompass investment in nickel mining, precursor production, cathode, anode, cell battery, battery pack, and battery recycling.