Electric Vehicle Tax Rules Change, GAC Indonesia Awaits Specific Figures
GUANGZHOU, KOMPAS.com – The “honeymoon” era for electric vehicles with pure tax-free status is entering a new phase.
The Indonesian government has officially released new rules stating that battery-based electric vehicles can now be subject to taxation.
These rules are outlined in Minister of Home Affairs Regulation (Permendagri) No. 11 of 2026 on the Basis for Imposing Motor Vehicle Tax (PKB) and Motor Vehicle Ownership Transfer Duty (BBNKB).
CEO of GAC Aion Indonesia, Andry Ciu, said he has already heard discussions about the tax scheme changes. However, the company is still waiting for implementation details from respective regional governments.
“Regarding the increase, the discussions have indeed been circulating. But the PKB provisions will be determined by each province. We are waiting for that, when the exact figures will come,” said Andry in Guangzhou, China, on Monday (20/4/2026).
Andry explained that until the technical rules at the provincial level are issued, manufacturers cannot yet map out how much impact the increase will have on consumer purchasing power.
Furthermore, regarding the BBNKB rate increase, it is still awaiting certainty from each region.
“For BBNKB, a letter came out regarding electric vehicles yesterday, but at 25 percent. Previously 0 percent, now 25 percent. The letter was on the 17th, but we haven’t received the official letter yet,” said Andry.
Still More Economical
Even though it is no longer completely zero rupiah, Andry believes electric vehicles still have strong financial appeal for potential buyers.
“But the calculation, for example, is 25 percent. Even if it’s up to 25 percent, it’s still much more economical. It’s 75 percent savings,” Andry said optimistically.
It should be noted that in Permendagri No. 11 of 2026 Article 19, the central government still provides room for regional governments to offer incentives in the form of tax exemptions or reductions.
This means that electric vehicle tax rates in one region could differ from another, depending on specific regional policies.