Aceh Ready to Become a Hub for Electric Vehicle Battery Recovery: PT Aceh Dynamic Plus and Malaysian Investors Explore Strategic Investment Opportunities
Aceh Besar – Thursday, July 10, 2025: Rahmadhani, M.Bus, Acting Head of the Investment and One-Stop Integrated Services Agency (DPMPTSP) of Aceh, welcomed a strategic visit from PT Aceh Dynamic Plus and its Malaysian investor partners to discuss the plan for establishing a lithium-ion electric vehicle (EV) battery recovery plant in the Aceh Besar region.
This meeting marks the beginning of a cross-border collaboration projected to make a significant contribution to the development of the electric vehicle ecosystem in Indonesia, particularly in the western region. With the growing global demand for electric vehicles and the Indonesian government’s efforts to accelerate the clean energy transition, this project is expected to become a key driver of the battery recycling industry in the Sumatra region.
“This is not just about investment; it’s about laying the foundation for a sustainable future industry. We welcome this initiative as it aligns with Aceh’s vision to be part of the global supply chain for green energy,” Rahmadhani said in his remarks.
The Malaysian investors, who are part of the consortium with PT Aceh Dynamic Plus, expressed their interest in the strategic advantages of Aceh, including its geographical proximity to international ports and the availability of industrial land ready for development. Additionally, the supportive regulations for green investments and the Aceh government’s openness to sustainability-oriented projects were major attractive factors.
The planned plant will focus on recovering active materials from used lithium-ion batteries, such as nickel, cobalt, and lithium carbonate, to be reused in the production of new batteries. This environmentally friendly technology not only offers sustainable solutions but also has the potential to reduce reliance on imports of increasingly scarce strategic raw materials.
In addition to its economic value, the project is expected to create a multiplier effect for the local community, such as the absorption of skilled labor, technology transfer, and partnership opportunities with local SMEs in the industrial supply chain.
The DPMPTSP of Aceh reaffirmed its commitment to facilitating all necessary licensing and technical support for investors, in line with the national mandate to strengthen the green industry sector and the circular economy.