Jakarta’s flip-flops stall investment, say analysts after LG pulls out of US$8.45bil nickel plan

Data from Indonesia’s automaker association showed that EVs comprised 12.46 per cent of Indonesia’s total new vehicle sales of 70,892 in March. - Photo: AFP

JAKARTA: The decision by South Korean company LG to exit a US$8.45 billion plan to build an electric vehicle (EV) battery supply chain in Indonesia has sparked debate over Jakarta’s inconsistent policies and slow decision-making.

LG Energy Solution, the world’s third largest EV battery maker, disclosed its decision on Monday (April 21), citing “market conditions and investment environment”.