At WEF Davos, Anindya Bakrie Highlights Indonesia's Potential as a Key Player in Electric Vehicles
DAVOS, investortrust.id – Bakrie & Brothers CEO and Chairman of the Indonesian Chamber of Commerce and Industry, Anindya Novyan Bakrie, revealed that Indonesia has the potential to have a complete electric vehicle (EV) ecosystem and become an important player in the global EV supply chain.
"Indonesia will have an EV supply chain ecosystem because we have the willingness and resources to be there and contribute to the world," Anindya Bakrie said during a discussion titled "Getting EV Supply Chains Right" held at the annual World Economic Forum (WEF) in Davos, Switzerland, on Monday Jan. 20, 2025.
The discussion, moderated by Business Insider Editor-in-Chief Jamie Heller, featured Jakob Stausholm, CEO of Rio Tinto Group; Anindya; Bonginkosi Emmanuel "Blade" Nzimande, South Africa's Minister of Higher Education, Science, and Innovation; Elizabeth Shuler, president of AFL-CIO; and Pan Jian, vice chairman of CATL.
Bakrie & Brothers CEO/Chairman of the Indonesian Chamber of Commerce and Industry, Anindya Bakrie, in the "Getting EV Supply Chains Right" discussion at the annual World Economic Forum (WEF) 2025 in Davos-Klosters, Switzerland, Tuesday (01/21/2025). Photo: WEF/Jakob Polacsek.
Business Insider mentioned that although the growth of electric vehicle sales in the United States and Europe is slowing, at least 30 million new electric vehicles will be hitting the roads in various countries by 2027. To increase production, EV manufacturers are racing to secure reliable and sustainable supply chains for vital material components, from batteries to critical minerals.
Anindya Bakrie stated that Indonesia will have a complete EV ecosystem because it possesses various types of critical minerals, such as nickel, copper, tin, and bauxite as the main raw materials for EV components, especially batteries.
"Underground, we have essential minerals like nickel. About 22% of the world's nickel reserves are in Indonesia. We also rank 5th as the largest producer of tin, copper, and bauxite in the world," he said.
The share of electric vehicles in the world continues to grow. Infographic: Processed by Investortrust Research.
Not only rich in mineral resources, according to Anindya, Indonesia also has significant potential in renewable energy, such as geothermal, hydro, solar, and wind energy.
"And above ground, we have renewable energy potential, such as geothermal, hydro, solar, and wind. The government plans to build power plants with a capacity of 100 gigawatts in the next 15 years, 75% of which will come from renewable energy," he explained.
Anindya added that the utilization of minerals for EVs and the use of renewable energy is an ideal combination, making Indonesia one of the key players in global emission reduction programs.
"We are also very proud of our biodiversity, from forests, peatlands, mangroves, to coral reefs. We have the potential for 500 gigatons of carbon capture and storage," he said.
Indonesia's Strategic Role
Anindya Bakrie emphasized that as the largest country in ASEAN, Indonesia has a strategic role in global emission reduction. With a population of 285 million, Indonesia is a huge market. As a result, the transition from fossil energy to renewable energy will have a significant impact on emission reduction.
Global electric vehicle stock development up to 2023. Source: International Energy Agency.
Anindya explained that Indonesia must transition to affordable clean energy so that energy subsidies can be redirected to crucial programs, such as reducing poverty and unemployment.
"We want to do this because we are still importing oil, so subsidies are still in place. Therefore, we want to use that subsidy money for other more urgent matters," he emphasized.
According to Anindya, Indonesia not only wants to produce EV batteries but also wants to focus on manufacturing EVs. "I think, with all the resources we have, Indonesia has that possibility," he said
Several staff members gather for a briefing in preparation for the World Economic Forum (WEF) in Davos, Switzerland, (01/19/2025). Photo: WEF/Gabriel Lado.
Anindya stated that Indonesia aims to downstream minerals for EV battery production, such as nickel, bauxite, tin, and copper using green energy. "So, we can use green energy while reducing carbon emissions," he said.
He gave examples of Indonesian companies already supplying batteries or battery materials not only to China but also to Europe and America, such as Volkswagen and Ford.
Indonesia, Anindya said, has opened itself up to investors who want to invest in the EV supply chain or ecosystem. "Indonesia is open for business, including in the EV industry," emphasized Anindya Bakrie.