JAKARTA - There are still many electric car manufacturers that market products with Complete Built Up (CBU) status in Indonesia today. Then, enjoy incentives from the government.
However, the assistance was not unconditionally given. There is a commitment that must be fulfilled by electric vehicle (EV) manufacturers.
Based on the Regulation of the Minister of Investment Number 6 of 2023 in conjunction with Number 1 of 2024, BYD to VinFast are required to pay a bank guarantee of a number of Import Duty and Sales of Luxury Goods (PPnBM) that have been suspended.
Then, commit to investing by setting up factories in the country to produce electric cars locally.
"The import time limit is on December 31, 2025. Starting from January 2026 to December 2027, companies must start their 1:1 production commitment," said Director of Maritime Industry, Transportation Equipment and Defense Equipment of the Ministry of Industry Mahardi Tunggul Wicaksono in a media discussion entitled Import BEV Incentive Polemic in Jakarta, Monday, August 25.
Tunggul explained that manufacturers are not only required to produce electric cars locally next year. However, it must market a number of four-wheeled electric vehicles in Indonesia.
"It is mandatory to pay attention to the Domestic Component Level (TKDN) from 40 percent, it must be able to increase gradually to 60 percent," he said.
He also revealed that so far there have been six companies that have participated in the CBU electric car incentives. Of the above, the government has managed to collect a fairly large additional investment, reaching IDR 15 trillion.
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"This increase shows that government policies and incentives are starting to produce results. This trend is a strong indication that the transition to low emission transportation in Indonesia is running in the right direction," he concluded.
To note, a number of manufacturers enjoy CBU electric car incentives. For example, BYD marketed Atto 1 to Denza D9. Then there is also VinFast who brings a number of mainstay products. For example VF3, VF5 to VF7.
The two manufacturers have also built factories. Located in Subang Smartpolitan, Subang, West Java.
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