The CATL factory in Indonesia will begin operations in March 2026.

KatadataOTO – The development of electric cars in Indonesia is expected to accelerate next year. This is because Contemporary Amperex Technology (CATL), an electric vehicle battery manufacturer from China, will begin operations.

Yuliot Tanjung, Deputy Minister of Energy and Mineral Resources, revealed that the production facility will start operating in March 2026.

“They (CATL) expect to be in production in Indonesia by March 2026 at the latest,” said Yuliot, as reported by Antara (16/05).

The company will later collaborate with Indonesia Battery Corporation (IBC) to build a battery cell factory in Indonesia.

Photo : InsideEVs

Yuliot stated that CATL's investment continues in Indonesia with a capacity of 15 GWh. However, this figure will be achieved in stages, as the initial production in 2026 will only have a capacity of 7.5 GWh, or half of what is planned.

“This first stage has received approval (from the Chinese Government) for 7.5 GWh,” Yuliot added.

The remainder will be built after securing funding from an IPO or Initial Public Offering.

Interestingly, although not yet officially operational, CATL already has buyers for its production output from several countries, such as Europe and the United States. Unfortunately, the company has not yet announced who these customers are.

Besides for export purposes, Indonesian electric car manufacturers are also expected to utilize it. With this, the TKDN (Local Content Level) will increase, and it is not impossible that EV prices in the future will be more competitive than they are now.

It was previously reported that CATL had intended to build a factory since the end of 2024. Significantly, they were reportedly ready to invest US$ 1.2 billion, or around Rp 18.66 trillion.

Photo : Special

The money will be used to build a factory in Karawang, West Java.

This decision was made because they see the high potential for electric vehicle development in Indonesia. Moreover, the government continues to provide various incentives to accelerate EV adoption in the country.

It is not impossible that in the future, the electric vehicle market in the country could compete with conventional cars.