Jakarta [Indonesia], August 11: Indonesia's Investment Minister Bahlil Lahadalia said Wednesday that China's Taiwan region's tech giant Hon Hai Precision Industry, widely known as Foxconn, had signed a deal with the government and a domestic private company to establish an electric vehicles (EV) industry in the country.
"Regarding the investment process, we (Indonesia and Foxconn) are currently doing a feasibility study. We plan to start the ground breaking by the end of this year," Lahadalia said in a virtual talkshow, adding that the MoU for the investment was signed last month.
The industry will likely be established at the Batang Integrated Industrial Area (KIT) in Central Java province, and the value of investment estimately reaches 120 trillion rupiahs (8.11 billion U.S. dollars), according to the minister.
He said that the industry would include the production of electric batteries and electric-based two-wheel vehicles.
Indonesia is currently wooing foreign investors to develop an EV ecosystem and seeking to further boost adoption of EVs as an effort to move to a cleaner and greener energy.
Lahadalia said that Foxconn's investment would support Indonesia's ambition to develop a global-scale EV industry and was expected to attract more investment to the country.
Source: Xinhua