Indonesia Invites Tesla To Build A 500,000-vehicle-per-year Plant There

Elon Musk
Tesla has reportedly received an invitation from the Indonesian government to build a major electric car factory there.

Teslarati, a news site that tracks Tesla, quoted Indonesia's Coordinating Minister for Maritime Affairs and Investment Luhut Pandjaitan as saying that Indonesia has invited Tesla to build an electric car manufacturing plant near Batang Regence in Central Java province.

The proposed plant could have an annual capacity of 500,000 vehicles and could use renewable energy, the report said.

The report said an Indonesian state-owned company called PT Geo Dipa Energi operates a geothermal power plant in Batang Regence. pandjaitan told lawmakers how Tesla could use the company's output to power its plant. He added that Tesla has also shown interest in the North Kalimantan Green Industrial Park, which relies on hydro and solar power (000591).

Luhut reportedly said Indonesia wants Tesla to produce cars locally, not just sell them. This year

In mid-May, Tesla CEO Elon Musk met with Indonesian Prime Minister Joko Widodo at the SpaceX rocket production site in Boca Chica, Texas.

Widodo reportedly invited Elon Musk to visit his country at the time, to which Elon Musk replied that he hoped to visit in November.

The Southeast Asian country is known for its mineral resources, which could be helpful to Tesla in making batteries.

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