But no one in power in Indonesia is seriously proposing curtailing the expansion of the nickel industry, which would jeopardize the investment and jobs it brings. Nor do international carmakers have much alternative to relying on it if they’re to meet their electrification goals profitably. With its cheap workers and cheap coal, Indonesia offers a dramatic cost advantage compared with other sources of nickel, which include Australia and Canada.

That’s especially important as growth in demand for EVs slows, putting pressure on manufacturers to make them more affordable. Tesla reported a slump in deliveries in the first quarter, missing analysts’ estimates by the largest margin on record; Ford Motor Co. has slashed production of its flagship electric pickup, the F-150 Lightning; and companies including General Motors Co. and Volkswagen AG have delayed or shelved EV plans.

At the same time, the massive expansion of the industry in Indonesia has led to a slump in global nickel prices, forcing the shutdown of mines in Australia and destroying the business case for new ones there and in other higher-cost locations. By 2030, Indonesia may account for nearly two-thirds of the global nickel supply, according to forecasts from BloombergNEF, up from about 47% last year.

That reality alarms the Indonesians trying to stop the nickel sector from leaving a trail of destroyed ecosystems and dead workers. “With every concession sold, more destruction and damage will also follow,” says Imam Shofwan, head of research at Jatam, a Jakarta-based environmental group. “We are very afraid of the future of this nickel industry.”