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Global race for electric vehicle battery supply chain: is Indonesia going to win?
Indonesia has the ambition to become a developed country in 2045, Indonesia needs an engine of growth. One of the growth engines lies in the electric vehicles (EV) industry. EV global demand is predicted to rise amidst the evolving automotive landscape. As one of the important parts of EV, the battery is a strategic product to position Indonesia in the global supply chain because of the abundance of Indonesia nickel reserves, which is a needed raw material for the battery. Major automakers—US, China, and Europe—that are currently progressing to reach the most competitive EV are trying to secure a continuous and lasting supply of nickel batteries. In this context, Indonesia is in the race among other emerging countries such as India and Thailand to take the opportunity. However, Indonesia still lacks domestic industrial capabilities regarding advanced technology for processing raw materials to batteries.
For this matter, this paper will use statistical and descriptive analysis to understand the competitiveness of EV battery suppliers and Indonesia position now when compared to the other countries. Additionally, it also discusses the remaining problems for Indonesia to participate in the chain. Therefore, the Ministry of Foreign Affairs could start mapping countries with potential investors to run a special economic diplomacy mission.
| 2021-0211 | Sekdilu 42-2021 | Training Materials Repository | Tersedia |
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