Ministry of Investment to Hold Meeting with Huayou on EV Battery Consortium Following LG's Departure
JAKARTA - The Ministry of Investment and Downstreaming/Investment Coordinating Agency (BKPM) has stated that it will soon hold a meeting with Huayou, a Chinese company, to discuss the electric vehicle (EV) battery ecosystem consortium previously led by LG.
"We also want to meet — God willing, if not this week, then next week — we will meet with Huayou, discuss this matter, and finalise," said Deputy for Investment Promotion at the Ministry of Investment and Downstreaming/BKPM, Nurul Ichwan, as quoted by Antara.
Nurul Ichwan conveyed that after confirming LG's departure from the consortium, his office would create a new design and plan to involve other parties in the country's electric vehicle battery ecosystem facilities.
"Then we will facilitate the formation of the joint venture," he said.
He previously explained that the EV battery project, known as the Indonesia Grand Package, has realised US$1.2 billion (Rp20.2 trillion), and that Huayou will fill most of the remaining investment totalling US$8.6 billion (Rp145.2 trillion), through four joint ventures.
The joint ventures refer to investments in nickel mines, the manufacture of precursors, cathodes, anodes, cell batteries, battery packs, and battery recycling.
"Surely Huayou will not be alone — they will definitely work together with other partners that we will try to approach as well," he said.
Minister of Investment and Downstreaming Rosan Perkasa Roeslani explained that LG Energy Solution did not resign from some of its investments in battery ecosystem projects; rather, the Indonesian government asked LG to step down because negotiations had taken too long.
Rosan said negotiations with LG had been ongoing for five years since 2020.
"Earlier it was said that they [LG] decided, but actually it was more precisely us deciding. It was based on a letter issued on 31 January 2025 by the Ministry of Energy and Mineral Resources of the Republic of Indonesia. Why was the letter issued? Because this negotiation has been going on for too long, while we want all of this to proceed well and quickly, as negotiations have been ongoing for five years," said Rosan during a press conference at the Presidential Office, Presidential Palace, Jakarta, on Wednesday evening (23/4).
Rosan added that the letter was then issued to LG, as Chinese investor Huayou had expressed its desire to invest in the battery ecosystem sector. Huayou's desire to join the battery project consortium in Indonesia has been known since 2024.
"We also want to meet — God willing, if not this week, then next week — we will meet with Huayou, discuss this matter, and finalise," said Deputy for Investment Promotion at the Ministry of Investment and Downstreaming/BKPM, Nurul Ichwan, as quoted by Antara.
Nurul Ichwan conveyed that after confirming LG's departure from the consortium, his office would create a new design and plan to involve other parties in the country's electric vehicle battery ecosystem facilities.
"Then we will facilitate the formation of the joint venture," he said.
He previously explained that the EV battery project, known as the Indonesia Grand Package, has realised US$1.2 billion (Rp20.2 trillion), and that Huayou will fill most of the remaining investment totalling US$8.6 billion (Rp145.2 trillion), through four joint ventures.
The joint ventures refer to investments in nickel mines, the manufacture of precursors, cathodes, anodes, cell batteries, battery packs, and battery recycling.
"Surely Huayou will not be alone — they will definitely work together with other partners that we will try to approach as well," he said.
Minister of Investment and Downstreaming Rosan Perkasa Roeslani explained that LG Energy Solution did not resign from some of its investments in battery ecosystem projects; rather, the Indonesian government asked LG to step down because negotiations had taken too long.
Rosan said negotiations with LG had been ongoing for five years since 2020.
"Earlier it was said that they [LG] decided, but actually it was more precisely us deciding. It was based on a letter issued on 31 January 2025 by the Ministry of Energy and Mineral Resources of the Republic of Indonesia. Why was the letter issued? Because this negotiation has been going on for too long, while we want all of this to proceed well and quickly, as negotiations have been ongoing for five years," said Rosan during a press conference at the Presidential Office, Presidential Palace, Jakarta, on Wednesday evening (23/4).
Rosan added that the letter was then issued to LG, as Chinese investor Huayou had expressed its desire to invest in the battery ecosystem sector. Huayou's desire to join the battery project consortium in Indonesia has been known since 2024.