Hyundai Mobis Constructs New Battery Plant in Indonesia

South Korean automotive supplier Hyundai Mobis has started the construction of a new EV dedicated battery system plant in Indonesia that will be completed by the first half of 2024. It said that it intends to set Indonesia as a beachhead as the country is emerging as the heart of the ASEAN market, and catapult to being a leader of the electrification ecosystem, which include cells, battery systems, and OEMs.

For the plant, Hyundai Motor Group has invested a total of $60 million (KRW 80 billion) on a land area of about 33,000 square meters. The battery systems will be supplied first to flagship EV models slated to be released in Southeast Asia next year.

Hyundai Mobis holds half of the stake (Hyundai Mobis 25%, Hyundai Motors 15%, Kia 10%) in Hyundai Motor Group’s total investment in HLI Green Power, a joint battery cell venture currently being built near the company’s local plant.

The groundbreaking ceremony for the battery system plant in Bekasi, West Java near Jakarta was organised. The battery system plant in Indonesia is expected to provide a solid footing to Hyundai Mobis for its global electrification business targeting the ASEAN. The Indonesian government is also accelerating efforts to secure leadership in the EV market.

Hyundai Mobis will use battery cells supplied by a joint battery cell venture, HLI Green Power, and will turn them into modules that include a controller and a heat controller. They will then be supplied to global automakers as large battery systems allowing the company to play a role in the EV ecosystem.

Oh Heung-sub, Senior VP of Electrification, Hyundai Mobis, thanked Indonesian Government for their support saying, “Hyundai Mobis will become a partner for Indonesia and will play a pivotal role in establishing the EV ecosystem.”

With the rise of the ASEAN market, it seeks to expand and develop the Indonesian plant into a long-term strategic base capable of accommodating major customers worldwide.

Hyundai Mobis is currently producing EV components, including battery systems, not just in Korea, but also in Europe – mainly Czech Republic and Slovakia. In October last year, the company announced a plan to invest $1.3 billion by 2030 in a bid to expand the electrification production base in North America.