Electric Motorcycle Manufacturer ALVA Reveals Unexpected Impact as Subsidy Programme Ends
Jakarta — Purbaja Pantja, Chief Executive Officer of electric motorcycle manufacturer ALVA, stated that the absence of government incentives and subsidies for electric motorcycle producers in 2026 has not adversely affected the company’s sales performance. He attributed this resilience to consumer adaptation during the gradual subsidy phase-out period.
“Regarding the impact of the lack of incentives or subsidies on our sales, there is none. Comparing 2024 and 2025, sales have actually continued to rise,” Purbaja said during a discussion session at a launch event on Tuesday, 10 March 2026.
Purbaja explained that electric motorcycle consumers have become accustomed to operating without subsidies. The government began reducing subsidies in late 2024, with 2025 serving as a transition year that allowed consumers and producers to adapt to the new market conditions. The subsidy programme was discontinued when its quota was exhausted in the fourth quarter of 2024.
“Since late 2024, it has been over a year without subsidies, so consumers have had sufficient time to adjust,” he noted.
The CEO attributed the company’s sales growth to heightened public awareness and understanding of electric vehicles. Consumers now demonstrate a clearer understanding of their requirements and purchasing needs. Notably, some buyers have dispensed with test-ride experiences before making purchase decisions, a significant shift from earlier market behaviour when test rides were considered essential.
“Historically, test rides were mandatory before purchase. Today, whilst test rides remain available and popular, some ALVA customers now purchase without conducting a test ride,” Purbaja stated.
ALVA achieved a significant production milestone in November 2025, reaching 10,000 units of electric motorcycles manufactured. The majority of production consists of premium-segment units priced between Rp30 million and Rp40 million (approximately £1,500–£2,000), representing a crucial benchmark in the company’s expansion trajectory.