Two Global Supply Chains Now Manufacturing at JIIPE Gresik SEZ: Copper Foil & Photovoltaic Glass

Two of the world's most strategically significant industrial supply chains — EV battery copper foil and photovoltaic glass — are now anchored inside a single Special Economic Zone in East Java, Indonesia. JIIPE Gresik SEZ has become the first location outside China where both industries are simultaneously operating at scale, backed by two of China's most prominent industrial groups: Hailiang and Xinyi Solar.

Industry Chain 1: Copper Foil for EV Batteries

The Global Market Opportunity

Copper foil is a mission-critical material in lithium-ion batteries — it serves as the anode current collector, directly affecting energy density, charge speed, and cycle life. As global EV production accelerates, the demand for high-quality, ultra-thin copper foil (below 7–9 microns) is growing faster than any other copper downstream product.

For Chinese copper foil manufacturers, the calculus is clear: while China dominates 80% of global production today, trade barriers and supply chain diversification pressure from global EV makers — including European OEMs and U.S.-market-oriented battery suppliers — are creating strong demand for non-China-origin copper foil at competitive quality levels.

The Copper Value Chain at JIIPE

This supply chain is uniquely complete at JIIPE. The Freeport smelter — one of the world's largest copper smelting operations — sits directly adjacent to the KEK zone, making JIIPE the only location in the world where a copper foil manufacturer can source refined copper from a world-scale smelter within the same industrial cluster.

Tenant Profile: PT Hailiang Nova Material Indonesia

Industry Chain 2: Photovoltaic Glass for Solar Modules

The Global Market Opportunity

Photovoltaic glass is the protective front layer of every solar panel — governing light transmission, durability against weather and UV exposure, and the module's overall energy output. As global solar deployment accelerates beyond 1 TW of annual capacity additions, the demand for high-transparency, anti-reflective tempered PV glass is growing at 16%+ CAGR — making it one of the fastest-growing specialty glass segments in the world.

For Chinese PV glass manufacturers, establishing production in Indonesia offers two strategic advantages: proximity to the fast-growing Southeast Asian solar market, and an origin label outside China that bypasses anti-dumping duties being imposed on Chinese-origin solar glass in key markets — including India's USD 570–664/tonne anti-dumping duties on Chinese and Vietnamese PV glass imports introduced in December 2024.

Tenant Profile: Xinyi Solar & Xinyi Glass at JIIPE

Why Both Industries Converge at JIIPE — And What It Means for Incoming Investors

The simultaneous presence of both Hailiang and Xinyi at JIIPE is not coincidental — it reflects a deliberate convergence of infrastructure advantages, regulatory incentives, and supply chain logic that is difficult to replicate elsewhere in Southeast Asia.

Adjacent Industry Opportunities: What Comes Next

The establishment of copper foil and PV glass production at JIIPE creates direct upstream and downstream investment opportunities for companies in connected industries. Sectors with the strongest strategic rationale for co-location include:

• Copper rod and copper tube manufacturing — upstream of copper foil, leveraging the same Freeport smelter copper supply
• Solar cell and module assembly — direct downstream of Xinyi Solar's PV glass output, reducing module logistics costs significantly
• Battery component manufacturing — cathode material, electrolyte, separator film — to build a complete cell supply chain around Hailiang's copper foil
• Cable and wire manufacturing — leveraging Indonesia's copper refining base for domestic and export-oriented production
• Energy storage system (ESS) integration — as Indonesia's grid-scale storage market accelerates, local cell component production becomes highly strategic