In June 2025, Indonesia's and even ASEAN's largest integrated electric vehicle battery production and sales chain project was officially launched. President Prabowo attended the groundbreaking ceremony, emphasizing that it is a result of China-Indonesia cooperation. The project involves Chinese company CATL (CATL) and several other Chinese enterprises, with a total investment of 5.9 billion USD. Production bases are located in Karawang, West Java, East Halmahera, and North Maluku. The project will drive the development of 18 infrastructure projects, including multi-purpose port construction. Experts believe China is helping Indonesia become the largest new energy vehicle battery production center in ASEAN. This project helps Indonesia transform from a "raw material subsidiary" to a "developed industrial country", increasing the added value of raw materials such as nickel, in line with President Prabowo's continued industrial policy. Despite disputes between Indonesia and China in the South China Sea and US attempts to drive a wedge, China remains Indonesia's largest economic and trade partner. The battery cooperation project consolidates bilateral friendly relations and has significant implications for global political stability. Due to EU restrictions on importing Chinese electric vehicles, China is accelerating its strategy shift towards the Asia-Africa market. GAC Group has set up an electric vehicle assembly plant in West Java (second factory in Southeast Asia); BYD's assembly plant in West Java is expected to start production by the end of 2025. The new industrial cluster will support the development of China's new energy vehicles in Asia.
In June 2025, Indonesia's and even ASEAN's largest integrated electric vehicle battery production and sales chain project was officially launched. President Prabowo attended the groundbreaking ceremony, emphasizing that it is a result of China-Indonesia cooperation. The project involves Chinese company CATL (CATL) and several other Chinese enterprises, with a total investment of 5.9 billion USD. Production bases are located in Karawang, West Java, East Halmahera, and North Maluku. The project will drive the development of 18 infrastructure projects, including multi-purpose port construction. Experts believe China is helping Indonesia become the largest new energy vehicle battery production center in ASEAN. This project helps Indonesia transform from a "raw material subsidiary" to a "developed industrial country", increasing the added value of raw materials such as nickel, in line with President Prabowo's continued industrial policy. Despite disputes between Indonesia and China in the South China Sea and US attempts to drive a wedge, China remains Indonesia's largest economic and trade partner. The battery cooperation project consolidates bilateral friendly relations and has significant implications for global political stability. Due to EU restrictions on importing Chinese electric vehicles, China is accelerating its strategy shift towards the Asia-Africa market. GAC Group has set up an electric vehicle assembly plant in West Java (second factory in Southeast Asia); BYD's assembly plant in West Java is expected to start production by the end of 2025. The new industrial cluster will support the development of China's new energy vehicles in Asia.