The Secretary General of the Ministry of Economic Coordination has announced that the Kendal Special Economic Zone (KEK Kendal) is developing into a global center for the production of battery materials for electric vehicles.As of the second quarter of 2025, the special zone has attracted investment of 90.12 trillion dong (about $5.8 billion), created 66,000 jobs and housed 128 companies.
The anode material has an annual capacity of 160,000 tons (the largest in the world, surpassing China's 120,000 tons), supplying car companies such as Tesla in the U.S., while the cathode material has an annual production capacity of 120,000 tons of lithium iron phosphate (LFP) material, the largest capacity in Southeast Asia, which covers a complete supply chain from furniture manufacturing to the high-tech industry. The production center willPromoting the development of Indonesia's electric vehicle ecosystem and enhancing Indonesia's position in the global battery industry chain.Improvement of trade structure by exporting high value-added products.The SAR is expected toAdd 800,000 tons of anode capacity by the end of 2025 to further consolidate its position as a core supplier of global battery materials.
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