Investor Presentaiton
| Manufacturing Industry
Accelerating the growth of Indonesia's domestic battery industry is crucial to meet current
domestic demands
Demand for E4W domestic battery
production
(MWh)
300
200
100
Source: Gaikindo (2022)
(Notes: November 2022; domestic production)
Historical E4W battery demand
LFP
132
156
2022
NCM
Demand for E2W battery of certified
vehicle (MWh)
Historical E2W battery demand
50
40
30
20
10
O
2016
2017
2018
2019
2020
2021
2022
LFP
NCM
Lead-acid
■N/A
Source: MoT (2022)
(Notes: November 2022; not all of the E2W produced domestically; certified vehicle)
• Indonesia, a significant producer of nickel, promotes the development of high-nickel nickel-manganese-cobalt (NMC 811) batteries, which have a composition of 80%
Ni, 10% Mn, and 10% Co. At the same time, lithium ferrous-phosphate (LFP) batteries are favored for their safety and longevity, despite having lower energy density.
In the E4W market, NMC batteries are primarily used for SUVs, while LFP batteries are preferred for hatchbacks. In the E2W market, NMC batteries are employed for
high-power motors (>2 kW) to make vehicles lighter.
• In 2022, the demand for batteries has reached 329 MWh, with LFP accounts for 57.7%, followed by NCM (42.2%) and lead acid (0.1%). However, the available domestic
battery production capacity is only a fraction of that demand. Domestic LFP battery factories and SMEs have an estimated annual capacity of 4 MWh, or 31 thousand
battery cells per day. One SME has sourced its active material cathode from another SME within the Universitas Sebelas Maret ecosystem. The potential of the NMC
or LFP battery industry in Indonesia is still huge, and the growth potential can be seen from the comparison of the total available market with the existing production.
30
30
Indonesia Electric Vehicle Outlook 2023View entire presentation