Indonesia is actively negotiating cooperation with multiple countries to develop its domestic rare earth (LTJ) industry, but currently faces difficulties in introducing core technologies. The head of the Mineral Industry Bureau (BIM) stated in a parliamentary hearing that the bureau has held discussions with representatives from various countries on cooperation in rare earth separation and purification technologies. However, most countries that possess critical technologies are unwilling to transfer them to Indonesia, preferring only to purchase Indonesian rare earth raw materials and refusing to establish processing supply chains locally.
He pointed out that the technical difficulty of processing rare earths into high-value-added individual element minerals is extremely high, and developed countries tend to monopolize the technology, importing Indonesia's raw ore for processing in their own countries to capture all the added value. Currently, Indonesia's domestic technology can only perform preliminary separation, producing mixed rare earth oxides, and is unable to extract high-purity rare earth elements. To break through this bottleneck, Indonesia is strengthening independent research and development with domestic universities and the National Research and Innovation Agency (BRIN), while continuing foreign negotiations with a "market-for-technology" approach, offering long-term offtake agreements to attract technology transfer.
To date, Indonesia has advanced rare earth cooperation intentions with companies from the following countries:• Australia: Iluka, Lynas (offtaker) • Japan: Iwatani, Jogmec (investment and offtake) • France: Carester (technology and offtake) • Finland: Metso (technology partner) • Russia: Rusal (technology and offtake) • China: Minmetals, Landmark Green Energy (investment and offtake) • UAE: New Energy Metal (investment, offtake, and supply) • Canada: SRC (technology and offtake)
Although no substantial breakthrough has been achieved yet, Indonesia remains committed to international cooperation alongside independent research and development, with the goal of establishing a complete, high-value-added domestic rare earth supply chain.
Indonesia is actively negotiating cooperation with multiple countries to develop its domestic rare earth (LTJ) industry, but currently faces difficulties in introducing core technologies. The head of the Mineral Industry Bureau (BIM) stated in a parliamentary hearing that the bureau has held discussions with representatives from various countries on cooperation in rare earth separation and purification technologies. However, most countries that possess critical technologies are unwilling to transfer them to Indonesia, preferring only to purchase Indonesian rare earth raw materials and refusing to establish processing supply chains locally.
He pointed out that the technical difficulty of processing rare earths into high-value-added individual element minerals is extremely high, and developed countries tend to monopolize the technology, importing Indonesia's raw ore for processing in their own countries to capture all the added value. Currently, Indonesia's domestic technology can only perform preliminary separation, producing mixed rare earth oxides, and is unable to extract high-purity rare earth elements. To break through this bottleneck, Indonesia is strengthening independent research and development with domestic universities and the National Research and Innovation Agency (BRIN), while continuing foreign negotiations with a "market-for-technology" approach, offering long-term offtake agreements to attract technology transfer.
To date, Indonesia has advanced rare earth cooperation intentions with companies from the following countries:• Australia: Iluka, Lynas (offtaker) • Japan: Iwatani, Jogmec (investment and offtake) • France: Carester (technology and offtake) • Finland: Metso (technology partner) • Russia: Rusal (technology and offtake) • China: Minmetals, Landmark Green Energy (investment and offtake) • UAE: New Energy Metal (investment, offtake, and supply) • Canada: SRC (technology and offtake)
Although no substantial breakthrough has been achieved yet, Indonesia remains committed to international cooperation alongside independent research and development, with the goal of establishing a complete, high-value-added domestic rare earth supply chain.