Chinese CNGR's Subsidiary ABEB Launches 20,000-Ton Nickel Battery Plant at Setangga SEZ
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TANAH BUMBU, Investortrust.id — PT Anugerah Barokah Energi Baru or ABEB has begun operating a nickel-based battery manufacturing facility on Tuesday, Jan 13, 2026 in the Setangga Special Economic Zone in Tanah Bumbu, South Kalimantan, marking a major step in Indonesia’s downstream battery industry with an annual capacity of 20,000 tons of ternary precursor. The facility is expected to strengthen Indonesia’s position in the global electric vehicle and energy storage supply chain.
The ternary precursor is an intermediate material used in lithium battery cathodes for electric vehicles and energy storage systems. ABEB said its output was aimed primarily at export markets and integrated into the global battery value chain.
Indonesia’s Defense Minister Sjafrie Sjamsoeddin said the development of mineral processing industries through downstreaming delivered strategic value for the country. He said battery raw material production in 2026 was expected to become a breakthrough in strengthening Indonesia’s technological capabilities, including for the defense sector.
ABEB is part of CNGR Advanced Material Co., Ltd., a global group spanning battery materials, battery manufacturing, and automotive supply chains. The partnership links Indonesia’s nickel resources with international battery production networks.
Investment realization at the Setangga SEZ reached Rp 4.7 trillion, equal to $292 million, by the third quarter of 2025 and absorbed 3,001 workers, according to data from the National SEZ Council. The zone is targeted to become an industrial hub with planned investment of Rp 67.69 trillion, equal to $4.2 billion, and the potential to create more than 78,000 jobs by 2053.
Rizal Edwin Manansang, acting secretary general of the National SEZ Council, said Setangga was positioned as a long-term growth engine for downstream industries. He said the zone’s development aligned with Indonesia’s goal of accelerating value-added industrialization.
CNGR Chairman Deng Wei Ming said the ABEB plant was projected to generate around 1,000 direct and indirect jobs once fully operational. He said the company remained committed to complying with Indonesian regulations and implementing clean production technologies throughout construction and operations.
The expansion of industrial activity in Setangga was expected to support Indonesia’s long-term development agenda and contribute to the Vision 2045 economic blueprint. Officials said the zone could emerge as a strategic contributor to national industrial competitiveness.