Doing Business & Investment in Indonesia

CONSULATE GENERAL OF THE REPUBLIC OF INDONESIA
CHICAGO







Allow me to extend my warmest greetings and to welcome you Indonesia. First, let me touch
upon a few things that make our country special.

Indonesia is famous of its beautiful landscape, perfect for any getaway, be it is a long or short
one, for we have something for everyone. Bali you might be well acquainted with, but how
about our hidden gems? Click here for more information bit.ly/TourismIndonesiaChicago

We also have been prioritizing trade and investment for the past few years by building our infrastructure, improving
our human resources, and increasing incentives such as low-level taxes and tax breaks, all to facilitate the ease in
doing business in Indonesia.

We have put together a website designed to assist potential partners and business that are interested in engaging in
Indonesia TTI’s opportunities by providing current information and relevant contact numbers.
For trade information, please click: bit.ly/TradeIndonesiaChicago. For investment information, please click
bit.ly/InvestIndonesiaChicago. You may also send us an email at [email protected].
We would be delighted to assist you.

Sincerely,

Meri Binsar Simorangkir
Consul General

INDONESIA

Indonesian Archipelago
consist of 17,508 islands

(6,000 inhabited)

Indonesia coastline

54,720 km

The total surface area of
the country is

1,919,443 sq km

INFORMATION WNI & BHI
CONNECTIVITY PROTECTION

COMMUNICATION

Promoting Education & Promoting Bilateral
Socio-Culture Bilateral Economic Relationship

Relationship MATCHMAKING

FACILITATE Indonesia Society
Development

Indonesia’s Five Priorities Program
For 2019 – 2024

Continuing the Intensifying the Inviting Reforming Optimizing
development of structural budget
infrastructure development of investment that bureaucracy
human resources can generate job utilization that is
opportunities focused and in

line with the
target

INDONESIA’S

MACROECONOMIC OUTLOOK

Global Growth is Expected to Rebound
Despite Large Countries’ Slowdown

Global growth is expected to increase in the next 5 years on the back of EM-ex China, despite slow
down of big economies. Similarly, Indonesia is expected to rebound.

Country 2019 2020 2021 2022 2023 2024 2020-2024 vs 2019
World 3 3.4 3.6 3.6 3.6 3.6
EU 1.5 1.6 1.7 1.6 1.6 1.5
US 2.4 2.1 1.7 1.6 1.6 1.6
China 6.1 5.8 5.9 5.7 5.6 5.5
Indonesia 5 5.1 5.2 5.3 5.3 5.3

Source: IMF

Nevertheless, Uncertainty Still Need to be Managed,
Especially on Geopolitical Front

Euro Zone Tiongkok
1. ECB Stimulus 1. Trade War
2. Economic slowdown 2. Hong Kong Protest
Iran
Geopolitics issue with US

UK
Brexit

US Japan-South Korea
1. Trade War Trade war
2. Low liquidityin

money market

Saudi Arabia
Oil price volatility due to
drone strikes

India
Economic slowdown

Argentina Recession Probability Bloomberg: US 30% China 20%
Recession

China Became A Giant Trade Force

China used to be less open compared to US before early 1980s. However, its trade size (%GDP) roared and surpassed
US until now. China also books trade surplus to most ASEAN nations, whereas US books deficit.

Trade Openness of US and China (% GDP) ASEAN Trade Surplus/ Deficit with China and US

40 (2018) 34.8

60% China, 2018, 30
38%

US China 20
40% 12.8

US, 1980, 20% USD Billion 10 8.3 6.4 2.6

0

20% -10
-9.0
US, 2018,
27% -20 -18.4 -13.2
-30
China, 1981, -20.1 -24.1
15%

0%

1962
1966
1970
1974
1978
1982
1986
1990
1994
1998
2002
2006
2010
2014
2018

Trade Surplus/ Deficit with China Trade Surplus/ Deficit with US

Source: CEIC, calculated

Compared to Other EMEs, Indonesia’s Growth is Still Robust

Comparison of GDP Growth (%yoy)

2017 2018 1Q2019 2Q2019 3Q2019

8 6.8 7.16.8 6 7.3 6.86.66.46.26.0
7 .7
6
5 5.2 5.9
4
5.1 5.15.15.0 4.74.54.94.4 4.0 4.1

3.7

3 2.82.32.4 3.1

2 1.1
1 0.10.1
0

Vietnam Tiongkok Indonesia Malaysia Thailand Singapura

Source: CEIC

Only Kalimantan and Sulawesi Grew Stronger Compared to
3Q 2018

4.7%

4.4% 4.5% 5.2% 5.3% 4.7% 5.9%
-0.7%
3.5%

4.0% 6.9% -7.4%

Sumatera Kalimantan

Sulawesi

Maluku &
Papua

5.7%

5.5% 5.6% 6.7% 6.7%

Jawa 6.4% Bali & Nusa Q3 2017
Q3 2018
Tenggara Q3 2019

Both Net Direct Investment and Portfolio Investment
Increased YoY

Net Direct Investment (DI) increased from USD 11.7 Bn to USD 16.1Bn in YTD 9M 2019, on the back of lower DI broad
and increase in inward DI. Similarly, Net Portfolio Investment (PI) rebounded strongly from negative amount to +USD

14.6 Bn during YTD 9M2019.

Direct Investment USD Bn Portfolio Investment

15 10
10 5
0
5 -5
0
-5
-10

Mar-12
Sep-12
Mar-13
Sep-13
Mar-14
Sep-14
Mar-15
Sep-15
Mar-16
Sep-16
Mar-17
Sep-17
Mar-18
Sep-18
Mar-19
Sep-19
Mar-12
Oct-12
May-13
Dec-13
Jul-14
Feb-15
Sep-15
Apr-16
Nov-16
Jun-17
Jan-18
Aug-18
Mar-19
Foreign Direct Investment Direct Investment Abroad
Net FDI Foreign Portfolio Investment Portfolio Investment Abroad
Net Portfolio Investment
Source: BI

Nevertheless, Proper Strategy Needs to Taken in Order to
Pursue Government Economic Target

APBN 2019 Realization APBN 2020 APBN 2019 Realization APBN 2020
2019
2019

Economic 5.3 5.2* 5.3 Indonesia Crude
Growth (%)
Price 70 62 63
Inflation (%)
(US$/barrels)
Exchange
Rate 3.5 2.72 3.1 Oil Lifting 775 754 755
(Rp/USD) (thousand
barrels/days)

15,000 14,146 14,400 Gas Lifting 1,250 1,072 1,191
(thousand
barrels/days)

Interest 5.3 5.6 5.4
Rate (%)

*projection

Source: MoF, BI, CEIC

Why Indonesia?

$1trillion Indonesia’s EODB ranking Sovereign credit rating
GDP has improved significantly continues to trend

GDP of more over the last 5 years higher

than $1 trillion 4th most prospective 2nd most biodiverse

(Nominal) investment country in the world,
destination which helps the tourism
Population of 260
5th highest number sector
million,
of internet users
with 44% under 25 globally

Indonesia Has A Big Economy and Many Opportunities..

Top-20 United States $20.494
GDP Current Prices China
Japan $13.407
in 2018
Germany $4.972
(USD billion) France
$4.000
United Kingdom
India $2.829
Italy
Brazil $2.775 WHERE
$2.717 ON EARTH
Canada $2.072
Russia
Korea $1.868

Spain $1.711 The largest economy
Australia $1.631 in SE Asia &
$1.619
Mexico $1.426 member of G20
Indonesia
Netherlands $1.418
Saudi Arabia
$1.223 16th largest economy
Turkey $1.022
Switzerland
$913

$782

$766

$704 GDP: Gross Domestic Products

Source: IMF, 2019

… and is Now Fully Rated As Investment Grade Country

Indonesia Economic Growth: The New Normal?

Indonesia economic growth has remained at about 5 percent since 2014, down from more than 6 percent previously. This slowdown
in growth can be traced to the end of the commodity boom, which has weighed on Indonesia’s key exports (including coal, palm
oil, base metals, natural gas, crude oil, and rubber), while indirectly affecting investment and government spending. Initially, some
analysts saw the slowdown as temporary, being either a cyclical phenomenon or otherwise easily corrected by minor policy tweaks.

Source: Lowy Institute

Indonesia’s Economy is Expected to Shift Towards Service Sector

Total GDP by Sector: Historical and Forecast Manufacturing Service Sector GDP
driven driven (201C5A-G2R030)
in % contribution

Redsroivuercnes

Other services 14,1 17,8 19,3 27,5 11.9
Transport, storage and communications 5,0
5,4 8,9
Trade, retail, hospitality 18,6
19,7 17,0 10,0 10.1
Construction 4,8 5,0 9,8 18,3 9.8
Manufacturing industry 12,4
25,2 10,2 9.6
Primary sector 45,1
21,7

16,3 7.2

27,0 23,3 17,7 7.3

Service industry

1980 2000 2015 2030 (E)

Source: World Bank, Reserve Bank of Australia, United Nations, Indonesia Statistical Agency (BPS), A.T. Kearney

GOVERNMENT
REFORM AND STRATEGY

2020 Focus Strategy

Background Strategy Expected Results
Less reliance on
1. Uncertainty continues despite 1. Pushing Omnibus Law to increase volatile prices
US-China truce certainty for investment climate
Manageable Current
2. Indonesia economy still 2. Investment Focus on Impactful Account Deficit
heavily relies on natural Areas:
resources • Two Focus areas: natural Job Creation
resource downstream & green
3. Despite previous improvement economy
in investment climate, there is • Monthly investment meeting
still ample room to increase
investment and create more 3. Shift Focus of Tourism from Number
jobs of Tourists to Export Proceed from
Tourism

The Government of Indonesia Is Preparing Two Omnibus
Laws to Ensure Business Certainty

• The government is currently Job Taxation
making two Omnibus Laws: Creation
Touches 1194
➢ Omnibus Law on Job articles in 82 Touches articles
Creation (Cipta Lapangan laws in 7 laws
Kerja)
Regulates 11 Regulates 6
➢ Omnibus Law on Taxation issues issues
(Perpajakan)
Includes simpler Includes lower
• Both Laws are going to amend licensing and corporate tax
previous laws that are potentially labor&land and simplifying
overlapping and/or hindering procurement tax incentives
investment

• Both laws are going to be
submitted to the House of
Parliament on 1Q2020

Issues Regulated by Omnibus Law

Job Creation Taxation

• Licensing Simplification • Investment Funding
• Investment Requirement • Territorial System
• Manpower • Individual Tax
• Ease and empowerment of MSME • Taxpayer compliance
• Licensing Business • Fairness of business climate
• R&D support • Tax incentives
• Government Administration
• Imposition of sanction
• Land procurement
• Governmnet project and investment
• Economic Zones

Amendments to Tax Regulations in Omnibus Law on
Taxation

Reduction of Income Tax Regulation to Increase Compliance

• Corporate: From 25% (current) to 22% (2021- • Sanction will be adjusted
2022), finally to 20% (2023) • Interest from non-compliance fine will be
➢ +3% reduction for public entities
adjusted
• Dividend will not be taxed ➢ From 2% for 24 months to market rate

Application of Territorial System Taxation on Digital Services

• Dividend for multinational companies will • Adjusting tax on digital services which will be
also not be taxed, as long as the company similar to tax on conventional entities
invest in Indonesia
• Multinational digital companies which does
Application of Local Tax not have Indonesian office will also be taxed

• Indonesians who work abroad for more than 183 Tax incentives
days might be subjected to local tax
• Putting all tax incentives into one cluster
• Vice versa for foreigners who work in Indonesia for ➢ Includes tax holiday, tax allowance, Special
more than 183 days Economic Zone

Potential Investors Only Have to Access One Portal to Fulfill
All Requirements

Before OSS Location Permit After OSS Location Permit

Business License Business License

Potential Investor OSS

Building Establishment Building Establishment Environmental Permit
Permit Permit
Environmental Permit

Potential Investor

Instead of going to various ministries and potentially coming up with unclear step forward, potential
investor could arrange all permits within one application

Biggest Inflow Coming from Singapore Since 2014, Except
for 1st Half 2019

Direct Investment in Indonesia According to Country of Origin

USD Bn 15 12 8 9 10 642457
10 9 Japan

52 100220 1 11 01211
China -1 0 -2
0 -1
USA Hong Kong
-5

Singapore

2014 2015 2016 2017 2018 1H2019

Yearly Rank of Incoming Direct Investment Size

2014 2015 2016 2017 2018 1H2019
1st Singapore Singapore Singapore Singapore Singapore Japan
2nd Japan Netherlands Singapore
Japan Japan Japan
3rd China Japan USA
4th South Korea Hong Kong United Kingdom China
5th United Kingdom China Thailand
USA Hong Kong Malaysia USA China
Luxembourg Malaysia Hong Kong

• Nevertheless, Direct Investment from Singapore could be a proxy of investment coming from China

Source: BI

Indonesia Uses B2B Instead of G2G Scheme in Managing
Chinese Investment

G2G Scheme Country A Foreign loan lending China
Foreign loan payment
Use loan for Pay tax to

Development Projects Using service of Chinese Contractors

Tol road, power plant, port, etc

B2B Scheme Country A Tiongkok

Support for project Give loan Chinese
(e.g. license issuance) to Banks

Company in A Chinese Companies
SOE/private
Development Projects Ownership
Ownership
Tol road, power plant, port, etc

Using G2G scheme will make the money flow back to China. With B2B scheme, Chinese government will give loan to
Chinese companies or banks, thus not affecting Indonesian government’ foreign loan position.

Rule of Thumb for Investment

Compliance to environmental Environmentally Use Local At the initial stage, investors
law as well as regional and Sustainable Labor Force could use foreign skilled
labor force, but should
global environment standard is B2B Transfer of gradually increase local labor
a must. Technology use as the projects start to
produce.
Development shall be
sustainable Transfer of technology is a
crucial factor for investment.
Indonesia will prioritize Value Added Capacity building assistance
investors willing to join the Industry to surrounding community is
effort in adding value into critical.
Indonesia rich raw mineral

resources.

ECONOMY POLICY
16 PACKAGES

Since 2015, 16 Economic Policy Packages Have Been Introduced
to Attract More Investment

    

Predictable Tax incentives for Shorter Negative list Easier visa and work
regional minimum labor intensive dwelling times of investment permits processing
industries
wages  reform 

 3-hour licensing  Property
Improvements to incentives
Transport industry infrastructure and Lower electricity
incentives electricity grids rates for
industries

 EODB  e- commerce Logistics OSS

Land Improvements Affordable housing Incentives for e- INSW and Online Single
aquisition in Ease of commerce lower logistics Submission
acceleration Industry
Doing Business costs

Sources: Ministry of Economic Affairs, 2018

Online Single Submission (OSS), An Integrated Online System
with Data Sharing

A. NEW INVESTOR Monitoring
(New Registration)
National
B. EXISTING INVESTOR TASKFORCE
(Re-registration)
Company
Individual OSS

www.oss.go.id Ministry
TASKFORCE
Obtaining Investment
Licenses and Permits

▪ Single Business Number Provincial/
▪ Business License Municipality
▪ Commercial/Operational TASKFORCE

License

Promising Sector: Lifestyle Industry

Indonesia Middle Class Spending

(USD Billion) growth

+564.7% The shift:

+165.8% from goods-based to leisure consumption

+303.8%

+159.1%

+200.0% Consumer From goods to Travel to relieve
+130.8% lifestyle experiences stress

+136.4%

+137.5%

+166.7% More economical E-travel effect
+225.0% tourism

Source: Canback Global Income Distribution database; Indonesia Central Bureau of Statistics, Mckinsey Consumer and Shopper Insight Indonesia Study, 2011,
Mckinsey Global Growth Model; Mckinsey Global Institute analysis

Supported by Booming Consumer Class

Indonesia Population, 2010 2020 2030 in 5-6% 2030 in 7% of
in millions of GDP scenario GDP scenario
240
265 280 280

+120

+90
+40

Source: Mckinsey Global Institute

Human Capital Investment is Key

Indonesia still needs to continuously and consistently improve its human capital

Indonesia’s HDI 2013-2017 Comparison of HDI 2017

0.691 0.694 Singapore 0.932
Brunei Drslm 0.853
0.686 0.689 0.802
Malaysia 0.791
0.682 Turkey 0.774
Mexico 0.759
2013 2014 2015 2016 2017 Brazil 0.755
0.752
Indonesia’s HDI 2017 Thailand 0.699
China 0.699
12.8 8.0 0.694
Philippines 0.694
E x p e c t e d years of Mean years of South Africa 0.640
schooling schooling 0.578
Indonesia 0.582
69.4 10.846* Vietnam
India
Life expectancy GNI per Capita
Cambodia
at birth * In t h o u s a n d Myanmar

Source: UNDP, 2019

Top 10 Investors in Indonesia (2019)
By Country, Excluding Upstream Oil & Gas, and Financial Sectors

Food Crops, Forestry Fishery Investment
Plantations Rp 9.9 T Rp 1.1T No Country of Origin (US$ Million) Project
and Livestock (1.2%) (0.1%)
Rp 57.8T
DDI and FDI Trends 1 Singapore 6,509.6 7,020
Sector : 2014 – 2019 (7.1%)

Mining
Rp 59.5T

(7.4%)

2 China 4,744.5 2,130

Manufacturing 3 Japan 4,310.9 3,835
Rp 215.9 T
(26.7%) Services
Rp 465.4T
4 Hong Kong 2,891.0 1,508
(57.5%)

Others Singapore 5 Netherlands 2,596.8 1,345
US$ 2.1 B US$ 6.5 B
Taiwan (23.1%) 6 Malaysia 1,357.5 1,682
US$ 0.2 B (7.7%)

(0.6%) 7 South Korea 1,070.2 2,952

FDI Trends by Main Australia China 8 United States of America 989.3 788
Country of Origin US$ 0.3 B US$ 4.7 B
(16.8%)
(1.2%)

USA 9 British Virgin Islands 743.8 1,392
US$ 1.0 B
Japan 10 Australia 348.2 1,049
(3.5%) US$ 4.3 B
(15.3%) Total (126 countries) 28,208.8 30,354
South Korea
US$ 1.1 B Hongkong EU Source: BKPM, 2020
(3.8%) US$ 2.9 B US$ 3.7 B
(10.2%) (13.0%)
Malaysia
US$ 1.4 B

(4.8%)

Five Common Challenges Faced By Investors In Indonesia

1 2 3 4 5

Regulation Tax & Land Skilled labor & Public
Incentives Acquisition foreign worker Infrastructure

Issues: Issues: Issues: Issues: Issues:
•Uncertainty •Complicated •Long time to acquire •Limited skilled labor •Slow dwelling time
•Complicated •Fiscal incentive not •Complicated procedure •Lack of infrastructure
•Lack of coordination attractive land
•Speculative rising price to obtain Foreign
Government Efforts: Government Efforts:
•Accelerated doing •Tax data integration of land Worker Permit
business (Presidential system to improve data
Regulation No. 91 Year transparency Government Efforts: Government Efforts: Government Efforts:
2017). •Revised tax incentives •Implemented “post-
regulation for more •Spatial plans •Incentives for industry border” system for
•Single submission wide range of business certain restricted goods
system sectors. (Government that support vocational •alternative financing
•New Tax Holiday
mechanism Regulation No. 13 year and training program for infrastructure i.e.

2017 •Ease of foreign worker PINA (Non State Budget

•The Ministry of Industry permit (Gov. Regulation Financing)

to set a price ceiling for No. 20/2018)

industrial land

Where to invest? 11 Special Economic Zones (SEZ)

Fiscal incentives in SEZ are regulated under
Minister of Finance Regulation No. 104/PMK.010/2016):

Arun Lhoksemawe Bitung Morotai
Petrochemical, Logistics, Oil & Gas Fishery, Coconut Oil & Tourism, Fishery
Industry, Manufacturing & Logistics
Food & Paper Manufacture Herbal Pharmacies
Industries, Logistics
Sei Mangkei
Palm Oil & Rubber Sorong
Industry, Fertilizer, Shipyard, Fishery &
Logistics, Tourism Tourism

Tanjung Api-api Kelayang Maloy Batuta Palu
Palm Oil, Rubber, Tourism Palm Oil, Coal and Manufacture, Agro
Petrochemical Industries (Rubber, Cacao, Seaweed,
Mining & Rattan) Nickel & Ore
Industry, Logistics

Tanjung Lesung Mandalika
Tourism Tourism

Tax Incentives: Facilities:
• Income tax reduction ranging from 20% to • Property ownership and residence permits for foreigners
• Integration of investment, land, immigration and work
100% for maximum 25 years
• Free VAT for import on raw materials licensing in SEZ

INVESTMENT FOCUS
NATURAL RESOURCE DOWNSTREAM

Smelter and Refinery Development in Indonesia
(2015-2019)

Development of Smelter & Refinery

Investors Investment (USD) Workers Location

47 Companies Operating: >64 thousand 28 districts in
12.3 Bn people 16 provinces
Plan/Construction:
40.9 Bn

Installed Capacity (thousand tpy)

Basic Steel 6250 9000

NPI/FeNi/NiMatte 4690 675

Hydrometallurgy 318 4000 Total: 63 projects
5000 Finished: 39 projects
Copper Cathode 323 825 Construction: 15 projects
Plan: 9 projects
Alumina 1300 4000 Operating Plan&Construction

Aluminium Ingot 250 1000

Stainless Steel 3850

0 10000 15000
Source: Ministry of Industry

Value Added Created From Nickel Downstream Process

Nickel • 1.23% Ni • 38% Ni Nickel • 22% Ni Tenancy • 30% Ni
Ore • $ 13/t Ore MHP • $ 10,800/t Ni Sulphate • $ 14,000/t Ni (523)
(Limonite) • $ 1,626/t Ni • $16,133/t
Tenancy

Nickel • 1.8% Ni NPI • 10% Ni Stainless- • 8% Ni
Ore • $ 30/t Ore • $ 12,000/t Ni Steel • $ 2,014/T SS
• $ 2,564/t Ni
(Saprolite) (HR)

Indonesia’s Policy on Nickel Downstreaming

• Indonesia is focused on implementing a downstream industry policy, one of which was in the metal
sector.

• The government is targeting stainless steel production of 4 million tons in 2019 and steel of 10 million
tons in 2025.

• So far there are 32 projected metal smelter projects with an estimated investment value of US $ 18
billion and direct employment of 28,000 people, spread in 22 districts / cities and 11 provinces.

• The construction of smelter factories in the country is considered to be going quite well, especially
those based on metals.

• Indonesia has great potential in the development of the metal-based smelter industry because it is
among the top 10 countries in the world with abundant reserves of bauxite, nickel and copper.

Indonesia Has Enough Metal Reserve to Be A Key Player in
Lithium Battery Industry

Current Lithium Battery Technology Increasingly Needs Nickel

Value Chain Lithium Battery: Huayou Cobalt, GEM, and CATL Have
Invested in Indonesia to Produce Elements of Lithium Battery

Laterite nickel upstream Downstream OEMs

Mining Processing Refining Cathode Cathode Battery Auto OEMs
precursor Producer
Bijih Nickel Nickel EV, ESS
Key (Lateric) AL (Saprolite) Mixed sulfate Cathodes (NCA, NCM) Lithium-ion batteries
Steps HPAL (Limonite) Intermediate
precipitate

HPAL mining, processing and refining

▪ Goro (95%) ▪ Ravensthorpe (100%) ▪ Moa
▪▪ ▪ Reserves: 199mt
Reserves: 122mt ▪ Capacity: 3.5mtpa (50▪%) Reserves: 57mt
Capacity: 4mtpa ▪ Capacity: 3.4mtpa
(37ktpa Ni)
(50k tpa Ni)
▪ Ambatovy(12%)
▪ Reserves: 181mt
▪ Capacity:6mtpa

(60ktpa Ni)

Key Players ▪ Murrin Murrin (100%) ▪ Ramu (85%) ▪ Gordes (50%)
▪ Reserves: 300kt Ni
▪ Reserves: 104mt ▪ Reserves: 49mt ▪ Capacity: 40ktpa Ni

▪ Capacity: 4mtpa ▪ Capacity: 3.4mtpa ▪ IMIP (HPAL)

(40k tpa Ni) (33k tpa Ni) ▪ Weda Bay (HPAL)
HPAL processing & refining
Shaanxi J&R Co.

▪ Coral bay (54%)
▪ Reserves: 68mt
▪ Capacity: 24ktpaNi

▪ Taganito (75%)
▪ Reserves: 188mt
▪ Capacity: 36ktpaNi

Push for EV Come From Higher Emission Standard in Developed
Countries

By using motorized vehicles (ICE) or Hybrid EV (HEV), European, US and Chinese targets for vehicle emissions cannot be
achieved.

120
120

Emission (g/ km) 100 90 CO2 Emissions (g/ km)
80 Europe commission 95g (2020)
60 50 Europe commission 81g (2025)

40 Europe commission 59g (2030)
China standard 95g (2025)
20

0
0

Internal Hybrid electric Plug-in hybrid Electric vehicle (EV)

combustion engine vehicle (HEV) electric vehicle

(ICE) Vehicle Powertrain Energy(PHEV)

To reach the Chinese target, a minimum of HEV is required, for European target a minimum of plug-in hybrid EV (PHEV),
whereas for a US target it must use an EV.

Source: Goldman Sachs Equity Research (2019), Our World in Data

Nickel Investment Mostly Come from Sulawesi and Maluku Area

Megah Surya Fajar Bhakti (Zhenshi Gebe)
Pertiwi (Harita) Antam/Xinhai Tech

Century Metalindo Central Omega Jinchuan WP
Bintang Smelter
Ceria Nugraha
Indotama
Huadi Nickel

Indoferro

Bintang Timur Steel

Operating NPI Idle Operation Expansion

Indonesia Morowali Industrial Park

• IMIP has a current production capacity of 1.5
million tonnes per annum of NPI

• 600,000 tonnes per annum of high carbon
ferrochrome.

• In order to increase its stainless steel output to
targeted levels of 3.0 million tonnes per annum,
NPI production requirements are expected to
increase to approximately 1.95 million tonnes
per annum, facilitating the requirement for
additional RKEF lines within the IMIP.