Indonesian heavy equipment producer Nusatama Berkah this month signed a memorandum of understanding (MoU) with Chinese state owned defence company Norinco International (North industries Group ) to jointly produce battery powered trucks in Indonesia for local sale.

The pair agreed to introduce locally built models under the NTBK brand, tailored to local market requirements. A feasibility study would be carried out for the project but Norinco country director for Indonesia, Ge Ling Xing, said he was “confident of the potential for Indonesia”.

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Nusatama Berkah, an engineering company listed on the Jakarta Stock Exchange (NBTK), specialises in fabricating bodies for special heavy duty vehicles operating in mining, oil and gas plus forestry.

The EV truck chassis’ will be supplied by Norinco subsidiary BeiBen Truck, a Chinese heavy duty truck manufacturer originally established as a producer of Mercedes-Benz trucks in Baotou in the Inner Mongolia region. Its electric heavy trucks are fitted with swappable batteries and have a range of up to 250km (155 miles) on a single charge.

The Indonesian government is providing incentives to attract investment in the country’s electric vehicle (EV) segment. Nusatama Berkah was expected to localise a significant proportion of the trucks, starting with the bodies, to meet government local content requirements.

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