This Indonesian Region is a Strategic Location for the Future EV Battery Ecosystem

North Maluku is increasingly cementing its position as one of the most strategic regions in the development of the national electric vehicle (EV) and battery ecosystem. With abundant nickel reserves and growing downstream battery processing facilities, the province is becoming a new growth centre in the future energy supply chain. Governor Sherly Tjoanda stated that North Maluku’s economic transformation is now largely supported by the expanding nickel downstream industry. The impact is evident from the province’s economic growth, which reached 19.6% year-on-year in the first quarter of 2026. “Last year we were at 34% year-on-year. This year, in the first quarter, it’s 19.6%. Most of it comes from the downstream industry, particularly nickel,” Sherly told CNBC Indonesia on Friday (12/6/2026). According to her, North Maluku is no longer just a raw material producing region. The nickel processing industry is now moving up towards higher value-added products that are key components in the electric vehicle industry. In the early stages, the nickel processing industry in North Maluku produced a lot of ferronickel using Rotary Kiln Electric Furnace (RKEF) technology. However, in recent years, industrial development has increasingly shifted to products with higher added value through High Pressure Acid Leach (HPAL) technology. She assessed that this development shows North Maluku is not only becoming a centre for mineral downstreaming but is also starting to play an important role in the future renewable energy ecosystem. “I feel that North Maluku is on the map of renewable energy in a very strategic position. And there is still huge potential in the future. This is just the beginning. We have only just started with the downstreaming that is underway in North Maluku,” she said.