BYD Pushes for Extension of Electric Car Incentives Next Year

Illustration of a vehicle assembly plant owned by BYD. ANTARA/byd.com

JAKARTA - Chinese automotive manufacturer BYD hopes that the Indonesian Government can continue vehicle incentives in 2026, so that the positive trend in sales of emission-free vehicles continues to increase in the coming year.

"We hope that next year, especially in terms of policy, it will also be extended (incentives for EVs)," said Head of Public and Government Relations BYD Indonesia Luther Pandjaitan, quoted by Antara, Friday, December 12.

According to him, the extension of this incentive is not only for BYD, this incentive can be felt by all vehicle manufacturers who present battery-based vehicles in Indonesia.

With the increasing use of electrified vehicles in Indonesia, he continued, many benefits will be felt by the community. One of the most important is that pollution will be reduced.

"So that this positive trend is longer and more people use EVs. And a little more positive contributes to the industry and energy transition, so we help reduce pollution of course," said Luther.

If the government no longer issues incentives in the coming year, his party is a little uneasy and loses confidence, if the positive trend in electric vehicle sales can be accepted as it is today.

"We may lack confidence that this trend can have continuous growth like it is now. If there is no consistency or extension like this year," said Luther.

In this case, BYD has managed to record quite good sales. In terms of wholesales, BYD sold 40,151 units with a market share of 5.7 percent thanks to the performance of various vehicles they market such as Atto 1, Atto 3, Sealion 7, M6, Seal, to Dolphin, which are still imported intact from China.

English:

Unfortunately, the government has confirmed that the CBU EV import facility only applies until December 31, 2025. This is stipulated in Investment Minister Regulation 6/2023 jo. 1/2024.

So starting January 1, 2026 to December 31, 2027, manufacturers must meet the local production commitment with a 1:1 scheme according to the Domestic Component Level (TKDN) roadmap.

English: