The Ford EV pivot is in full swing, with the automaker committing to invest $50 billion in all-electric vehicles and related technology and produce two million units annually by 2026. Over the past several months, Ford continues to forge new deals with a variety of suppliers, formed its own EV battery production joint venture, and is in the midst of building multiple new production facilities, as well as retooling existing ones. Now, as it continues to rapidly expand its all-electric footprint, it seems as if Ford is considering re-entering Indonesia as well – a country that it exited back in 2016 – according to Reuters.
Ford is reportedly in discussions with Indonesian officials over plans to establish EV operations in the Asian country, according to Indonesia Coordinating Minister for Economic Affairs, Airlangga Hartarto. “We have raw materials for EV battery technologies,” Hartarto said while speaking at the Center for Strategic and International Studies in Washington D.C. Indonesia’s large supplies of nickel and its semiconductor production capacity “can support the U.S. auto industry,” he noted.
As Ford Authority reported in July, FoMoCo has signed a memorandum of understanding (MOU) with a number of companies around the globe recently as it aims to secure enough raw materials to support its plans to vastly ramp up Ford EV production. That includes signing non-binding MOUs with Vale Canada Ltd., PT Vale Indonesia, and Huayou Cobalt to explore a three-way nickel processing project and provide Ford with rights to the equivalent of 84 kilotons per annum (ktpa) of nickel, as well as BHP and its Nickel West operations in Australia. Through these deals, Ford announced that it has secured enough nickel to support its production goals in the coming years.
In addition to signing raw materials agreements with companies across the globe, Ford is also considering using vertical integration – purchasing companies that procure raw materials used in EV production, or perhaps even start its own operations, as Ford Authority reported back in May.