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Indonesian Government to Produce Batteries for Electric Vehicles in Mozambique

Indonesian Government to Produce Batteries for Electric Vehicles in Mozambique

The Indonesian government on Monday 2 September expressed its interest in collaborating with Mozambique in the energy sector, with a focus on the production of batteries for electric vehicles.

According to a report from Notícias, the initiative is in line with the Mozambican government’s vision of promoting energy transition, local transformation of raw materials such as graphite and the creation of new jobs.

Speaking during a bilateral Indonesia-Mozambique meeting as part of the 2nd Indonesia-Africa Forum, Indonesia’s Minister of Maritime Affairs and Investment, Luhut Pandjaitan, said that his country was ready to start co-operation with Mozambique in the energy sector.

‘We want and are ready to collaborate with Mozambique in the transition to renewable energies, focusing on technological innovation and the development of human resources,’ said Pandjaitan, who also emphasised the importance of involving the private sector and state companies in technology transfer, especially in the electric vehicle battery industry.

To formalise this cooperation, a working group was set up to draw up a memorandum of understanding in the areas of mining and energy.

For his part, Mozambique’s Minister of Mineral Resources and Energy, Carlos Zacarias, who is representing the head of state, Filipe Nyusi, at the forum, confirmed Indonesia’s interest, saying that ‘there is great interest from the country in working with Mozambican companies in the production of various minerals and batteries’.
Indonesia, which this year inaugurated its first battery factory for electric vehicles and has one of the largest nickel reserves in the world, banned the export of this ore in 2020 to encourage the development of the local industry.

Mozambique, for its part, is one of the world’s largest producers of graphite, a crucial raw material for the battery industry in markets such as China and the United States.

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In 2019, the two countries signed a preferential trade agreement, the aim of which was to strengthen trade relations, reduce tariffs and eliminate technical barriers to trade between the two nations.

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