Can China and Indonesia’s strong financial ties withstand ‘resource nationalism’?

AI Summary

China’s firm Tsingshan Group has capitalized on Indonesia’s vast nickel reserves, the world’s largest, securing a strategic position in the vital resource for stainless steel and advanced batteries. This relationship raises questions about the durability of financial and resource ties amid rising 'resource nationalism' trends in both countries.

Back in 2009, when China’s economy was expanding at about twice today’s pace, a little-known private firm made a quiet bet on uncharted territory: Indonesia. The company was on a quest: to secure nickel, a vital industrial metal used in stainless steel production and, increasingly, to power advanced batteries. That bet proved lucrative. By leveraging Indonesia’s vast nickel reserves – the world’s largest – and securing greater control over upstream supplies, Tsingshan Group has grown into a...