In February 2025, China Labor Watch released an article describing production disruptions at nickel processing plants in Indonesia run by Chinese companies. These disruptions have occurred amid numerous protests by workers for improved working conditions. Operational challenges, reductions in the price of nickel and global uncertainties have also impacted production, according to the article.

The article says numerous protests took pace at Indonesia Morowali Industrial Park (IMIP), organised by trade unions and civil society groups. This includes a protest in February 2025, demanding the plant take responsibility for workplace injuries and deaths the previous year. The protest was allegedly met with repression, as security forces used violence against protestors.

In the same month, Chinese migrant construction workers allegedly protested wage theft and other labour rights abuses at QMB New Energy Materials, a facility in IMIP. The workers were employed by Jiulong Labor Service, contracted by QMB. According to the reporting, QMB is a joint venture between GEM Co., Tsingshan Group, Guangdong Bangpu Cycle Technology (part of CATL), EcoPro and Hanwa Group. It specializes in green energy products.

Also in February, Indonesian workers allegedly protested at Virtue Dragon Nickel Industry (VDNI) calling for improved health and safety standards and increased wages. Chinese migrant workers allegedly gathered to ‘defend’ the facility.

A similar protest occurred in January 2023 at Gunbuster Nickel Industry (GNI), when management allegedly demanded Chinese workers ‘protect’ the facility after Indonesian workers protested. The article says the Chinese workers were told the protest was led by anti-Chinese sentiment, and language barriers prevented the workers from understanding the Indonesian workers’ demands. This led to the deaths of a Chinese and Indonesian worker. China Labor Watch highlights how these events show employers’ practices utilize ethnic frictions to prevent the formation of broader worker solidarity.

The article also emphasises how GNI now faces potential closure, which risks the “livelihood of over 10,000 Indonesian workers and over 1,000” migrant workers amid supply chain disruptions, including due to the bankruptcy of its parent company, Jiangsu Delong Nickel Industry.

The Business & Human Rights Resource Centre invited QMB, IMIP and VDNI to respond to the reporting. QMB’s response can be read in full below. IMIP and VDNI did not respond to the Resource Centre’s request for comment.