Indonesian Political, Business & Finance News

Agriculture Minister Claims Indonesia Already Produces Ethanol-Powered Cars and Exports Them to Brazil

| Source: CNBC Translated from Indonesian | Energy
Agriculture Minister Claims Indonesia Already Produces Ethanol-Powered Cars and Exports Them to Brazil
Image: CNBC

Agriculture Minister Amran Sulaiman has revealed that Indonesia is entering a new phase in biofuel-based energy development, including the production of ethanol-fuelled vehicles that have even been exported abroad.

He made this statement amid escalating global geopolitical tensions. According to him, the situation presents an opportunity for Indonesia to accelerate the development of ethanol as an alternative energy source.

“With geopolitics heating up, God willing, we will speed up ethanol 20% (E20),” said Amran when met at the Bulog Panaikang Warehouse in Makassar, South Sulawesi, on Sunday (5/4/2026).

Amran explained that ethanol-fuelled vehicles are now being produced in Indonesia by Toyota through PT Toyota Motor Manufacturing. These vehicles use an E20 mixture, or 20 per cent ethanol, and have even been shipped to the Brazilian market with a higher fuel standard of E27.

“Now the cars are available in Indonesia. PT Toyota produces cars for E20 ethanol. Exported to Brazil, E27. Just use them. We just need to process it. This is our ethanol, our cassava, our maize, just put it in,” he stated.

He viewed this step as inseparable from President Prabowo Subianto’s grand vision of building simultaneous energy and food self-sufficiency.

“So our president is indeed visionary. He has already prepared the infrastructure,” he said.

Furthermore, Amran assessed that global geopolitical tensions are actually providing positive impacts for Indonesia’s agricultural sector, particularly in terms of commodity prices.

“The heating up of geopolitical conflicts is a blessing for Indonesia, for food. Farmers are celebrating. Why? CPO prices are rising,” added Amran.

He revealed that the price increases for commodities like CPO and cocoa are being felt directly by farmers in the field.

“Do you know what they say? The plantation workers. ‘Minister, when will there be conflict again?’ We can’t have that. No conflicts. ‘These are good prices.’ Cocoa prices are good. CPO prices are good.”

According to Amran, this situation demonstrates that the national agricultural sector has significant opportunities to continue growing amid global dynamics.

“This is what I’m asked by farmers when I’m in the field,” he concluded.

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