Shenzhen-based battery material manufacturer BTR New Material Group's first overseas lithium-ion battery anode factory has started operations in Indonesia, with Indonesian President Joko Widodo presiding over the opening ceremony.
The factory — situated in the Kendal Industrial Park in Indonesia's Central Java province and the first of its kind in Indonesia — is a product of the Belt and Road Initiative's commitment to mutual progress and win-win cooperation.
With a first-phase investment totaling US$478 million, the factory currently has an annual production capacity of 80,000 tons of anode material — a vital component of electric vehicle (EV) batteries.
During the opening ceremony, President Widodo expressed delight at the factory's capabilities and highlighted its potential to support the production of approximately 1.5 million EVs annually.
Plans for a second phase, scheduled to start at the end of this year with an additional investment of US$299 million, aim to double the factory's production capacity to 160,000 tons, which will support the production of an estimated 3 million EVs each year.
BTR chairman He Xueqin underscored the factory's vital role in filling a gap within Indonesia and the ASEAN region's lithium-ion battery anode industry. Together, both phases of the project are expected to create 7,800 jobs, with over 94% designated for local recruitment.
Dominating the global anode material market for 14 consecutive years, BTR produces a diverse range of materials including natural graphite, synthetic graphite, silicon-based anode materials, and high-nickel ternary cathode materials.
The materials manufactured in Indonesia will primarily serve EV production, consumer batteries, and energy storage batteries globally.
Apart from the Indonesia project, BTR began construction of a lithium-ion battery cathode materials production facility in Morocco in April this year. This facility has an anticipated annual production capacity of 50,000 tons of lithium battery cathode materials, which will meet global demand for high-performance battery materials.
Shenzhen is home to over 4,000 prominent companies that belong to the lithium battery industry chain that had a total output value surpassing 600 billion yuan (US$85.7 billion) in 2022, according to Chen Shou, president of the Shenzhen Battery Industry Association.
"Several Shenzhen-based companies like Huawei, BYD, and Kedali have fostered partnerships in European countries like Hungary. This year, a fresh cohort of new energy industry players are venturing overseas in pursuit of expanded development prospects," Chen said.