Jakarta: Indonesia is finalising a new set of incentives to attract investment from electric vehicle (EV) manufacturers, a senior minister said on Tuesday, adding that the government is still in talks with big companies such as Tesla and BYD.
Speaking at a nickel industry conference hosted by CNBC Indonesia, Coordinating Minister for Maritime Affairs and Natural Resources Luhut Pandjaitan said the incentives would be benchmarked against those offered by regional rivals Thailand and Vietnam, without providing details.
Indonesia, Southeast Asia's largest economy, has been trying to attract electric vehicle manufacturers to invest in the country, llure them with its abundant nickel reserves - the largest in the world - which can be processed into electric vehicle batteries.
However, some carmakers, such as China's BYD, have opted to invest in Thailand, the region's automotive hub.
"Tomorrow we will finalize the incentives for any investment in electric vehicles in Indonesia," Luhut said. He added that they were awaiting approval from President Joko Widodo.
Luhut said he will meet with BYD executives in Chengdu, China, on Thursday (July 27, 2023) and plans to meet with Tesla CEO Elon Musk in California on August 3.
