Analysis of Trade-Offs in the Dynamics of Nickel Export Trade and the Risk of Environmental Degradation: A Case Study of Weda Bay, Maluku

Abstract

In the current downstream era, nickel has become a leading export commodity in Indonesia, particularly in the Weda Bay region of Maluku. Nickel exports have had a significant impact on Indonesia's national export trade, with global demand for nickel influenced by high global production levels of electric vehicle batteries, which have driven industrial expansion and increased export volumes. On the other hand, the development of nickel production and exports has also raised various challenges, such as environmental degradation, which requires serious attention. The objective of this study is to analyze the trade-off between the economic benefits generated by nickel exports and the environmental impacts occurring in Weda Bay. In this study, data was collected through literature reviews and relevant secondary data, enabling researchers to comprehensively describe the dynamics of nickel export trade and its implications for social and environmental conditions. The analysis results indicate that nickel exports make a significant contribution to the national and regional economies; however, nickel mining practices have caused environmental ecosystem degradation, water pollution, and changes in the social structure of surrounding communities. Therefore, the government's role is crucial in minimizing the negative externalities of nickel mining practices, namely through strengthening regulations, and environmental policies, implementing environmentally friendly technologies, and increasing community involvement in the monitoring and management of natural resources. With the right and appropriate management strategies, it is hoped that the mining area in Weda Bay can become a national nickel export source while maintaining environmental sustainability to create welfare for the surrounding community.