South Korean automotive manufacturer Hyundai Motor Group and battery manufacturer LG Energy Solution have today (3 July) inaugurated a new $1.1bn electric vehicle (EV) battery cell manufacturing facility in Indonesia.

The new facility, developed by HLI Green Power, a joint venture between Hyundai and LG, is the first in the country and is located in Karawang, West Java. It was first announced in 2021.

Spanning 320,00sqm at the Karawang New Industry City, the new facility can produce 10GWh of battery cells a year – enough to power over 150,000 EVs. Hyundai and Kia EV models will use the cells produced at the plant.

HLI Green Power is aiming to create a comprehensive local EV ecosystem that includes sourcing raw materials, producing batteries and vehicles, supporting charging networks and recycling batteries. Indonesia has an abundance of natural resources needed for the production of EVs, in particular nickel.

Indonesian President Joko Widodo said: “We have an abundance of natural resources but for decades we only exported them as raw materials with no added value. Now with the construction of smelters and the EV battery cell factory, we will become an important global player in the EV global supply chain.”

Chung Eui-sun, executive chair of Hyundai added: “Mineral resources in this country, such as iron and nickel, are key components for batteries that will mobilise millions of EVs all over the world.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Hyundai’s Indonesia investment adds to that of its recent $2bn Georgia EV battery plant, $2.4bn Chennai EV assembly plant and $128m EV battery plant in Navarre, Spain.