Indonesia is nearing deals with both Tesla and BYD for electric vehicle (EV) production investments in the country, according to a statement from Indonesia’s coordinating minister in a report from Reuters.
The news comes just a few days after a report said that Tesla was finalizing details for a Gigafactory in the country, and after a long courtship of the U.S. brand from the Southeast Asian nation.
“All the biggest (electric) car makers in the world will invest here. BYD Group, the number one in the world, Tesla, the number two, Hyundai and so on, they are all finalising deals with Indonesia,” Minister Luhut Pandjaitan said during a government meeting.
Tesla Signs $5 Billion Nickel Deal with Indonesia, Says Minister https://t.co/B8lcUY6BSB
— TeslaNorth.com (@RealTeslaNorth) August 8, 2022
Last year, following a nickel-supply deal with the U.S. automaker, Indonesian President Jokowi Widodo stated that he hoped Tesla would build EVs in Indonesia, rather than just building EV batteries.
In the past, Indonesia was a major nickel exporter, though it has since placed bans on exports of these minerals to stabilize a supply for those who invest locally.
President Jokowi Widodo visited the U.S. last May to meet with Tesla CEO Elon Musk, and the government later stated that the automaker agreed to build a battery and EV plant in the country.
