EV Battery Factory Construction in Cilegon Continues After Extortion

KatadataOTO – Recently, news circulated about a community organization (ormas) and rogue members of the Chamber of Commerce and Industry (Kadin) in Cilegon intimidating PT CAA (Chandra Asri Alkali), an electric car battery factory.

The action angered several parties. This prompted the Indonesian government to hold a limited meeting.

The meeting was attended directly by the Mayor of Cilegon, the Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM, and the Governor of Banten.

They also discussed the future of this EV (Electric Vehicle) battery factory.

Photo : Carscoops

"Yesterday's incident does not affect CAA's position or decision; they are continuing their investment," said Robinsar, Mayor of Cilegon, to Antara on Thursday (15/05).

Robinsar further explained that in the meeting, they discussed several other matters, especially regarding the thuggery experienced by PT CAA.

This included the police's actions after the extortion incident at the electric car battery factory construction project in Cilegon.

"There needs to be law enforcement, as stated by the Regional Police Chief. It will be followed up immediately with a summons," he continued.

Robinsar then emphasized the importance of maintaining the investment climate and regional security in Cilegon, Banten.

"Everyone must maintain a conducive climate. For local entrepreneurs, God willing, they will be involved," he asserted.

Robinsar added that he has instructed all levels of the Cilegon government not to complicate access for investors.

He invited all parties to play an active role in maintaining stability and supporting the entry of investment, as it can boost regional economic growth.

For your information, some time ago a video circulated on social media. It showed alleged demands for a 'cut' of the project from community organizations and business actors.

Photo : TrenOto

Then, a number of rogue members of the Cilegon Chamber of Commerce and Industry were also suspected of extortion, demanding a share of the total investment disbursed by PT CAA to build the electric car battery factory.

However, the project is designated as a National Strategic Project (PSN). This is based on Presidential Regulation Number 12 of 2025 concerning the National Medium-Term Development Plan (RPJMN) for 2025-2029.

It should be noted that this production facility will produce CA-EDC (Chlor Alkali-Ethylene Dichloride), one of the raw materials for electric four-wheeled vehicle batteries.