Taiwan’s Hon Hai Technology Group said it had established a joint venture with PT Mitra Motor Group (MMG), a subsidiary of Indonesian mining group PT Indika Energy, to produce battery powered commercial vehicles and related battery packs in the country.

Hon Hai, also known as Apple’s contract manufacturer Foxconn, said the deal was signed with its Foxteq Singapore affiliate. The new joint venture, called PT Foxconn Indika Motor (FIM), will license its EV technology from its Taiwanese parent company.

Foxconn head of battery strategy, Troy Wu, said in a statement: “Indonesia is southeast Asia’s largest economy and is committed to an ambitious net zero emissions target. This joint venture underscores Foxconn’s commitment to supporting our partners in Indonesia in our mutual goal of building sustainable ecosystems”.

The Indonesian government has set a target for 2m battery-powered vehicles and 13m electric motorcycles to be in use in the country by 2030.

Indika Energy’s group chief investment officer Purbaja Pantja said: “We see great potential in the development of electric vehicles in Indonesia. Indika Energy is delighted to partner with Foxconn as a global company that has developed EVs. This collaboration will provide a comprehensive EV ecosystem in Indonesia with the aim of supporting the country in becoming one of the leading EV and battery ecosystem developers.”

The establishment of FIM is a further development on a memorandum of understanding (MoU) signed in early 2022 by Indika Energy, Foxconn and other partners, based on a “build, operate and localise” strategy which will ultimately see full localised production in Indonesia.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.