LGES withdrawal marks the collapse of Indonesia’s vision for a nickel-driven EV battery industry. (Photo: LGES)
South Korea’s LG Energy Solution (LGES) has withdrawn from Indonesia’s high-profile Project Titan, a move that has sparked renewed debate within the electric vehicle (EV) supply chain industry.
Analysts say LGES’s decision reflects mounting pressure from China’s rapidly expanding use of lithium iron phosphate (LFP) batteries, which has diminished demand for nickel-based batteries and disrupted Indonesia’s downstream nickel ambitions.
LGES exit from Project Titan, Huayou Cobalt steps in
Indonesia’s Project Titan, valued at US$8.45 billion, was central to the government’s plan to become a global EV battery hub. LGES, one of the earliest foreign backers of Indonesia’s downstream strategy, had intended to develop a fully integrated supply chain—from nickel mining and refining to battery module production. However, citing changing market conditions and investment climate, LGES ultimately exited the project.
