Toyota Partners with CATL to Develop Hybrid Vehicle Batteries
PT Toyota Motor Manufacturing Indonesia (TMMIN) has formed a partnership with Contemporary Amperex Technology Co. Ltd (CATL) to develop electric vehicle battery production in Indonesia. Toyota is investing Rp 1.3 trillion to strengthen the electric vehicle ecosystem, including battery supplies from upstream to downstream.
TMMIN President Director Nandi Julyanto stated that Toyota currently has a battery pack production line in Karawang to produce batteries for the Toyota Kijang Innova Zenix HEV (Hybrid Electric Vehicle), Veloz HEV, and Yaris Cross HEV. The collaboration with CATL in Indonesia is intended to enhance battery assembly pack production capabilities up to the comprehensive manufacturing of battery cells and modules.
“Battery cell and module components that are currently imported will in the future be produced by Indonesian human resources,” he said in a written statement on Monday, 20 April 2026.
CATL is a Chinese company and one of the world’s largest electric vehicle battery manufacturers. The corporation has an ecosystem from battery research and development to production lines.
Nandi said this partnership is not just about expanding investment in Indonesia. The established partnership supports Toyota’s initiatives with various approaches towards the single goal of achieving carbon neutrality through a local supply chain.
Toyota appears to be optimising the Domestic Component Level (TKDN) through increased local content in batteries by localising battery cells and modules. Indonesian human resources are expected to develop and reduce import dependency, promoting Indonesia as a production and export base for electric vehicles and key components for the global market.
TMMIN Vice President Director Bob Azam said this process will gradually strengthen the existing supply chain. The development of conventional vehicle manufacturing will subsequently be able to produce fully electrified vehicles, particularly electric vehicles.
“Thus, in addition to maintaining the existing supplier ecosystem, TMMIN will also progressively enhance and even potentially attract new supply chain partners to support industrial transformation,” he stated.
This partnership approach positions TMMIN as Toyota’s first subsidiary in Southeast Asia to export batteries to the global market, targeted to begin in mid-2026. Exports will not only include batteries installed in hybrid vehicles but also in component form.
Toyota is striving to contribute to achieving the Nationally Determined Contribution (NDC) targets and Net Zero Emission (NZE) by 2060. Additionally, it will help improve the trade balance through exports and reducing reliance on oil imports.