Indonesia Launches Dragon and Titan Projects to Build EV Battery Supply Chain Amid Local Concerns

Indonesia is advancing its EV battery supply chain with two major projects, Dragon and Titan, expected to begin operations in 2026. However, experts warn of local community impacts due to past nickel mining projects, urging stronger regulations and better technology transfer to domestic players. While EV sales are increasing, the country struggles with production targets and high unemployment. The government faces criticism over environmental and social governance compliance.

Published Mar 21, 2026

Indonesia is working to establish a full EV battery supply chain with the launch of two major projects, Dragon and Titan, by state-owned companies and Chinese partners. Dragon, inaugurated in June 2025, is a USD 5.9 billion project aimed at nickel mining and battery production, with operations expected to start in late 2026.

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Titan will produce 30 gigawatt-hours of batteries annually. Despite ambitions, local communities express concern over environmental impacts and lack of consultation. Indonesia's EV production has been slow, with only 25,861 cars manufactured by mid-2025, although sales surged 152.5% in Q1 2025. Experts call for improved local technology transfer and compliance with environmental standards.