KONTAN.CO.ID - JAKARTA. Indonesia has cut tax incentives to limit investment in lower quality nickel products as it aims to extract as much value as possible from its rich nickel reserves and push for further downstream investment, a cabinet minister said on Wednesday. The government is aiming for around $95 billion investment this year and will continue to focus on natural resources processing industries but wants to save its nickel reserves, the world's largest, for higher valued products such as materials that go into electric vehicle batteries. Since banning nickel ore exports in 2020, Indonesia has seen a surge in investment into smelters but most output is ferronickel or nickel pig iron (NPI), used in stainless steel, that typically only contains 30% to 40% of nickel.
Indonesia Cuts Tax Breaks to Discourage Low Quality Nickel Investment-Minister
KONTAN.CO.ID - JAKARTA. Indonesia has cut tax incentives to limit investment in lower quality nickel products as it aims to extract as much value as possible from its rich nickel reserves and push for further downstream investment, a cabinet minister said on Wednesday. The government is aiming for around $95 billion investment this year and will continue to focus on natural resources processing industries but wants to save its nickel reserves, the world's largest, for higher valued products such as materials that go into electric vehicle batteries. Since banning nickel ore exports in 2020, Indonesia has seen a surge in investment into smelters but most output is ferronickel or nickel pig iron (NPI), used in stainless steel, that typically only contains 30% to 40% of nickel.