one of the electric car appearances at the hybrid car exhibition at Gaikindo Indonesia International Auto Show (GIIAS) 2018

Technological developments in the transportation sector are growing rapidly. In the next few years, world oil supplies will certainly experience scarcity on a global scale, this is what makes the world increasingly innovative to shift dependence from fossil oil energy to electrical energy. Indonesia is one country that is observing the progress of the world and also being part of a country that contributes to empowering renewable energy sources as a prospective step to avoid the dependence of world oil.

Indonesia’s prospective steps have begun, one of them is by building an integrated industrial area that will process mineral resources from the mine mouth into Lithium and steel iron batteries. This area was built by PT Indonesia Weda Bay Industrial Park (IWIP), which is a collaboration between Eramet Group from France and Tsingshan from China, together with local partners namely PT ANTAM (Persero) Tbk.

Coordinating Minister for Economic and Maritime Affairs Luhut Pandjaitan and Indonesian Minister of Transportation, Budi Karya Sumadi, laid the first stone of the integrated industrial estate project of a battery production company of electric and iron steel vehicles owned by PT Indonesia Weda Bay Industrian Park (IWIP) in Halmahera, North Maluku Province. IWIP President Director Xiang said, he was dedicated to introducing the latest sustainable technologies in Indonesia. IWIP will also be the first integrated industrial area in the world to process mineral resources from the mouth of the mine into the final product in the form of electric vehicles and steel.

Coordinating Minister for Maritime Affairs Luhut Binsar Panjaitan accompanied by Minister of Transportation Budi Karya Sumadi inaugurated the center of the electric vehicle battery industry in Central Halmahera, on Thursday (8/30)

“In addition to facilitating the metal refining activities, this industrial area aims to attract various investors to build downstream processing facilities including Nickel, Sulvat (NiSO4) NCM, NCA Precursors to produce the final product in the form of L-Ion battery electric vehicles,” said Mr. Xiang. The first phase investment, worth US $ 5 billion, was assumed to have a direct impact on local economic growth as new jobs were available that absorbed local employment. And the economy in the provinces and regional regions as well as increasing the overall rate of industrial development in the eastern part of Indonesia.

Also Read: Indonesia – Malaysia Agreed on Cooperation for Mass Production of ASEAN Cars

In his speech, Budi Karya said, IWIP had fulfilled the requirements to advance Indonesia’s economic growth in the form of investment. With, creating new jobs for the local community and the export of Morowali industrial area. “Therefore the Ministry of Transportation is ready to support the sustainability of this project,” Budi said

Previously, President Joko Widodo (Jokowi) reminded automotive entrepreneurs of various challenges that would be faced in the future. He conveyed this when opening the GIIAS 2018 exhibition.

President Joko Widodo while attending GIIAS 2018 at ICE BSD, Tangerang, Banten, Thursday (08/02/2018)

“Electric cars are increasingly widespread. It used to be exotic. Now the world has increasingly switched to electric cars. Britain, France have already announced. Starting in 2040, it will be forbidden to sell. China has also said it will lead the development of electric cars and become the largest market in the world,” he was on Thursday 2 August 2018. Technology disruption must also be dealt with properly. The development of technology utilization in the four-wheeled industry, such as unmanned cars is a new reality which also presents its own challenges.

“Like autonomous vehicles and online transportation applications, such as going to motorbikes. We have to redefine what a car is. In Silicon Valley, autonomous vehicles have been developed to deliver goods. In Los Angeles also as a shuttle in a restricted zone on campus,” he said.

In addition, the former Mayor of Solo said, the emergence of predictions of a decrease in car production in the future is also something that must be addressed.

“Short-term risks. Cycles that have begun to peak. There are cycles and are sensitive to the existing economic conditions. Observers say that in the United States car sales are as high as possible. We must be prepared to face the cycle of decline.” he asserted


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