President Joko Widodo of Indonesia has put the world’s largest nickel reserves at the forefront of an ambitious plan to transform the economy into a key player in the electric-vehicle supply chain. Surely, success in the revolution would have dramatic implications far beyond the Southeast Asian nation's economy.
The new HPAL projects, and the surge of inexpensive metal from a country whose deposits have long been unloved by major producers, could push the market into oversupply.
Within two years, Indonesia could supply 65% of the world’s nickel, up from 30% in 2020. With so much metal outside the London Metal Exchange and the Shanghai Exchange, Indonesia threatens to upend even nickel pricing benchmarks.
Aruna Gaitonde, Editor in Chief of the Asian Bureau, Rough&Polished