Beijing, Aug. 8 (Bloomberg) — Tesla has now signed a deal worth nearly $5 billion (33.85 billion yuan) to buy battery materials from Indonesian nickel processors over five years, a senior Indonesian cabinet minister told CNBC Indonesia, according to Reuters.
Reports indicate that Indonesia has been trying to get Tesla to set up production facilities in the country. Earlier this year, Indonesian President Joko Widodo met with Tesla CEO Elon Musk to try to push Tesla to invest in Indonesia.
Indonesia has the world’s largest nickel reserves, and its president wants to aggressively develop the nickel-based electric vehicle industry in the country and has halted nickel ore exports to ensure supply for investors. The move is understood to have successfully attracted investment from South Korean companies such as LG and Hyundai.
Tesla did not immediately respond to a request for comment on the matter.
