Government does not position automotive technologies as rivals

Tangerang, Banten (ANTARA) - Minister of Industry Agus Gumiwang Kartasasmita has stated that the government does not position one automotive technology as an adversary of another in driving the transformation of the national automotive industry.

Speaking at the Gaikindo Indonesia International Auto Show (GIIAS) 2026 in Tangerang, Banten, on Thursday, the Minister said various technologies play an equal role in achieving emission reduction targets whilst strengthening national energy resilience.

“We are not in a position of placing one technology as an opponent of another. Battery-based electric vehicles, hybrid vehicles, increasingly efficient internal combustion engines, as well as the use of biodiesel and bioethanol — all are paths towards the same goal, namely lower emissions and stronger energy resilience. What we are accelerating is the goal itself,” said Agus.

According to Agus, Indonesia’s main challenge is not determining which automotive technology will dominate the market in the future, but rather ensuring that the domestic industry gains the greatest possible economic benefit from these technological developments.

Agus reminded that the transition towards more environmentally friendly technology must be accompanied by industrial deepening. Without strengthening domestic production capacity, Indonesia would merely move from one form of import dependency to another.

“A transition that is not accompanied by industrial deepening will only shift our dependency from one form of imports to another form of imports. That is not transformation,” he said.