Tesla CEO Elon Musk has received a proposal from the government of Indonesia to put up an electric vehicle (EV) battery plant in the country. 

Elon Musk Reportedly Considering Building EV Battery Factory in Indonesia

The Associated Press reported that Coordinating Maritime Affairs and Investment Luhut Binsar Pandjaitan spoke about it after Elon Musk met with Indonesian President Joko Widodo at a water conference in Bali. 

He told reporters on Monday that they "made an offer" to Musk to build an EV battery factory, and "he said he will consider it." The tech billionaire traveled to Bali on Sunday to launch the Starlink satellite internet service in the country.

Musk also told officials and experts at the conference on global water challenges that he believed desalination could solve water scarcity if sufficient energy were provided.

Read Also: Elon Musk Arrives In Indonesia To Launch Starlink; Commercial Rollout Expected After Trials

Indonesia Also Asks Elon Musk to Invest in AI Center and Build SpaceX Launchpad

Indonesia has one of the largest nickel reserves in the world, and it is eager to establish industries that can capitalize on its wealth of natural assets. EV batteries and solar panels need nickel, a vital material in making these products.

Government data shows that Indonesia, which supplies 40% of the world's nickel, has the potential to boost this to 75% by 2030. The Indonesian government will require manufacturers of EVs and related components produced in the country to contain 60% native content by 2027.

The government also set a target of producing 600,000 EVs by 2030. The Indonesian government has been trying to partner with Musk's companies, namely Tesla and SpaceX, for years.

According to Pandjaitan, Widodo also asked Musk to invest in an AI center and build a SpaceX launchpad in Biak in Papua province, Times of India reported.

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