This year marks the 75th anniversary of the establishment of diplomatic relations between China and Indonesia. To commemorate this, International Business Daily has organized a special issue on China-Indonesia economic and trade cooperation. On April 10th, International Business Daily published a significant report titled "Huayou Indonesia IPIP Park: Building a New Benchmark for Global Lithium Battery Industry and Jointly Creating a Green Future," showcasing Huayou's contributions to upgrading industries in Indonesia, promoting economic and trade cooperation between the two countries, and contributing to regional economic prosperity and development.

▲IPIP園區(qū)效果圖

In 2025, China and Indonesia celebrate the important historical moment of the 75th anniversary of their diplomatic relations. As friendly neighbors across the sea and representatives of developing major countries and emerging economies, the economies of China and Indonesia are highly complementary, with enormous potential for cooperation. Against the backdrop of the deep alignment of the "Belt and Road" initiative and Indonesia's "Global Maritime Axis" vision, Sino-Indonesian economic and trade cooperation has continuously reached new heights. Bilateral trade volumes have steadily increased, investment cooperation has deepened, key projects have progressed smoothly, injecting strong momentum into the economic development of both countries and making positive contributions to regional prosperity and stability.

In the field of new energy materials, as the world's largest producer of laterite nickel ore, Indonesia has attracted numerous Chinese enterprises to invest and start businesses. According to data from the U.S. Geological Survey (USGS) in 2024, Indonesia's nickel reserves amount to approximately 55 million tons, accounting for 42% of global reserves, ranking first in the world. Chinese enterprises actively participate in the development of nickel resources in Indonesia, investing in nickel smelting, battery material industry chain projects, bringing advanced technology and management experience to Indonesia, while also promoting local employment and economic development, achieving mutual benefit and win-win outcomes.

Since 2018, Huayou, as a leading company in green manufacturing integration of new energy lithium battery materials worldwide, has been deeply cultivating the land of opportunities and challenges in Indonesia. After seven years of hard work, it has established remarkable wet-process refining projects like Huayue and Huafei, along with the first integrated green manufacturing base for new energy lithium battery materials in Indonesia—the Huayou Weda Bay Integrated Green Manufacturing Base for Lithium Battery Materials.

▲Former Indonesian President Joko Widodo attended the tripartite signing ceremony and delivered a speech

IPIP is located in Pomalaa Town, Kolaka County, Southeast Sulawesi Province, Indonesia, covering an approved total area of 9384.1 hectares by the Indonesian National Land Bureau. The park aims to leverage the abundant nickel-cobalt metal mineral resources locally to propose the development goal of "building an integrated industry chain from resource exploitation to all lithium battery materials." In 2022, the park received support from the Indonesian government and was listed as a national strategic project (PSN), becoming a key project supported by the Indonesian government and included in Zhejiang Province’s provincial-level overseas economic and trade cooperation demonstration zone.

Construction began in November 2024, and site preparation for production areas started in December. The park plans five functional zones: production area, living area, power plant, port, and public facilities. Phase one includes high-pressure acid leaching hydrometallurgy, pyrometallurgy, precursor materials, lithium salts, cathode materials, and other production projects, with plans to complete the closed-loop lithium battery industry chain from mining to battery materials and then to battery recycling by 2030.

Based on Huayou’s “two clusters and two bases” (industry agglomeration, enterprise clusters; park-based, integration-based) development philosophy, we aim to build the IPIP park into a world-class advanced lithium battery industrial park characterized by technological leadership, resource conservation, environmental friendliness, and leading ESG governance.

The Pomalaa region boasts rich nickel resources, providing unique advantages for the park’s development. Nickel, as an essential component of lithium battery cathode materials, is crucial for the supply stability and sustainability of the new energy industry.

▲IPIP

The Pomalaa mine itself is rich in resources, supplying large quantities of limonite annually to the park’s hydrometallurgical projects and providing long-term stable and reliable supplies. Additionally, the mining area contains substantial residual ores, which can support potential pyrometallurgical plants. The Pomalaa region covers over 20,000 hectares with conditions suitable for resource expansion.

Moreover, IPIP enjoys a superior geographical location near major shipping routes, with several ports such as Kolaka and Pomalaa within 30 kilometers. The park also plans its own dock, ensuring convenient maritime transport. Furthermore, Kolaka Airport is just 8 kilometers away, and the Wolulu National Highway passes through the park, offering convenient sea, land, and air transportation, reducing logistics costs and improving operational efficiency.

On the occasion of the 75th anniversary of the establishment of diplomatic relations between China and Indonesia, bilateral relations have further deepened, creating favorable conditions for cooperation. Indonesian Ambassador to China, Zhou Haoli, stated that Indonesia is committed to strengthening its enduring partnership with China, indicating a brighter future for bilateral relations.

As a comprehensive closed-loop industrial park, IPIP encompasses the entire lithium battery material industry chain from resource exploitation to full materials. The park includes plans for hydrometallurgical projects, pyrometallurgical projects, refining projects, precursor projects, cathode material projects, battery recycling projects, lithium salt projects, power plants, office areas, residential areas, water plants, road bridges, and public utilities.

IPIP has already attracted attention from multiple internationally renowned companies, including Vale and Ford Motor Company. Among them, the Pomalaa Mine High-Pressure Acid Leaching Project (KNI Project), jointly invested and constructed by Huayou Cobalt, Vale, and Ford Motor Company, plans to produce 120,000 tons of nickel annually. This project has received high attention from the Indonesian government, with former President Joko Widodo attending the signing ceremony and delivering remarks. Currently, the project is under construction and is expected to be operational by the end of 2026.

     Additionally, the park has established cooperative relationships with multiple internationally renowned enterprises and research institutions, conducting joint efforts in technology research and talent cultivation to promote the development of the new energy industry. IPIP actively participates in international exchanges and cooperation, dedicated to introducing advanced technologies and management experiences to enhance the overall competitiveness of the park.

    IPIP recognizes that talent is key to corporate development and actively recruits and cultivates high-quality talents while implementing a localization strategy for talent.

   Huayou has established cooperative relationships with numerous renowned universities and research institutions, including collaborations with 13 Indonesian universities such as Gadjah Mada University and Bandung Institute of Technology for joint training and selection of outstanding graduates. In collaboration with Indonesia’s Ministry of Marine Affairs and Fisheries and Northeastern University in China, they jointly train postgraduate students. Through these partnerships, Huayou conducts talent cultivation and scientific research cooperation with universities, attracting exceptional talents to join the park through scholarships, internship programs, and training projects, collectively driving the development of the new energy industry.

▲Huayou Indonesian employees

Furthermore, in terms of local talent cultivation and employment, IPIP will establish training schools and provide numerous job opportunities, enhancing the living standards of local residents. In the future, the park is expected to create 50,000 to 100,000 new jobs, significantly promoting local economic development and social stability. By conducting skills training and vocational education, it aims to improve the quality and competitiveness of the local workforce, achieving a win-win situation for corporate development and social responsibility. Currently, IPIP has founded two driving schools to cultivate and deliver specialized talents for ensuring professional transportation support for the park.

     While pursuing economic growth, IPIP adheres to Huayou’s investment philosophy of "making contributions to the local economy and society wherever it invests," always considering fulfilling social responsibilities and promoting community development as critical missions. The park follows international ESG standards, actively engaging in fields such as education, healthcare, environmental protection, and local economic development, aiming to enhance the quality of life for surrounding community residents and promote regional sustainable development.

     To build a world-class lithium battery industrial park characterized by technological leadership, resource conservation, and environmental friendliness, IPIP will adopt clean energy sources such as natural gas and solar power, and equip facilities for solid waste treatment, sedimentation ponds, wastewater treatment systems, and hazardous waste management measures within the park to minimize environmental impacts during production processes.

▲IPIP and KNI jointly carry out mangrove planting with USN Kolaka University

In addition, IPIP actively responds to the Indonesian government’s tree planting program, carrying out mangrove planting activities to protect coastal ecological environments and planning to construct modern large-scale nurseries, demonstrating the company’s commitment to ecological environmental protection. By implementing strict environmental management systems and sustainable development strategies, IPIP strives to achieve a win-win outcome between economic benefits and environmental protection.

On the occasion of the 75th anniversary of the establishment of diplomatic relations between China and Indonesia, the Pomalaa Industrial Park project serves as a model of alignment between China’s "Belt and Road" initiative and Indonesia’s "Global Maritime Axis" and downstream resource processing strategy. It will promote infrastructure construction and industrial upgrades in Indonesia, foster economic and trade cooperation and regional economic integration between the two countries. Here, IPIP extends an open invitation to global investors to join hands in building, sharing, and winning together! We believe that, through joint efforts, IPIP will contribute significantly to the development of the global new energy industry and ultimately achieve a win-win situation of economic benefits and social value.