Gaikindo Responds to Govt Target of 1mn Electric Cars Production in 2035

TEMPO.CO, Jakarta - The Ministry of Industry is targeting the production of one million electric cars and motorcycles in 2035. Indonesian Automotive Industry Association (Gaikindo) is optimistic that the target can be achieved under certain conditions.

"Why not? The important thing is the products are available and the price for the electric cars are affordable," said the first chairman of Gaikindo, Jongkie Sugiarto quoted from Antara today on Friday, November 25.

According to Jongkie, the electric car sales target can be achieved if it meets consumer needs. Electric cars can be accepted by the Indonesian public if the price is around Rp300 million.

"Because our per capita income is US$4,300. The best-selling vehicles in Indonesia are the ones with large dimensions, five doors and seven rows," he said.

Jongkie explained that the automotive market in Indonesia is dominated by the Multi-Purpose Vehicle (MPV) and also the Low-Cost Green Car (LCGC) segment. Of the total car sales target of 960,000 units this year, 40 percent will be the 4x2 MPV type (400,000) and 22 percent will be the LCGC KBH 2 segment.

"Are there any electric cars that cost Rp300 million with those specifications?" Jongkie asked.

The Indonesian market has introduced electric cars such as the Wuling Air EV which sell for Rp200 million to Rp300 million. It sold 1,629 units in October 2022. 

Dicky Kurniawan | Antara | Translator: Intern / Imaji Lasahido

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