Indonesia's Electric Vehicle Production Forecast to Reach 2.5 Million Units Per Year by 2030
The Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) has predicted that electric vehicle (EV) production in Indonesia will reach 2.5 million units per year by 2030.
Minister of Investment and Downstreaming/Head of BKPM Rosan P Roeslani said the forecast is in line with the growing number of EV manufacturers beginning to build factories in Indonesia, including BYD, VinFast and Geely.
"We can see that electric vehicle production will continue to increase. By 2030, we predict electric vehicle production can rise to 2.5 million units per year," said Rosan in Jakarta on Thursday (8 May 2025).
He added that the government has pledged to provide greater incentives for EV manufacturers that increase their local content level (TKDN).
"We will certainly provide even greater incentives if they increase their TKDN. So the concept is that we will change this — with higher TKDN, we will provide even greater incentives. We will take a more positive approach going forward regarding TKDN," he said.
According to Rosan, from 2024 to March 2025, seven EV manufacturers have declared the relocation of their investments and have commenced construction, with a total value of Rp15.4 trillion for planned EV car production with a capacity of 280,000 units per year.
"There are already seven companies — BYD, Citroën, Aion, Maxus, Geely, VinFast and VW. They have already declared their relocation and commenced operations. We can see that EV production will continue to increase," said Rosan.
BKPM is also working to attract investors for public electric vehicle charging stations (SPKLU) in Indonesia, in line with the rapid growth of EVs. The government is preparing incentives of up to 300% for private companies that develop research and development (R&D) facilities in Indonesia.
Rosan noted that average annual EV sales growth from 2019 to 2024 reached approximately 331%. Meanwhile, data from the Association of Indonesian Automotive Industries (Gaikindo) recorded electric car sales in 2024 at 43,188 units, surging 153.28% year-on-year compared to 17,051 units in 2023.
Total realised investment in the EV industry reached Rp157 trillion over the four-year period from 2020 to 2024.
Minister of Investment and Downstreaming/Head of BKPM Rosan P Roeslani said the forecast is in line with the growing number of EV manufacturers beginning to build factories in Indonesia, including BYD, VinFast and Geely.
"We can see that electric vehicle production will continue to increase. By 2030, we predict electric vehicle production can rise to 2.5 million units per year," said Rosan in Jakarta on Thursday (8 May 2025).
He added that the government has pledged to provide greater incentives for EV manufacturers that increase their local content level (TKDN).
"We will certainly provide even greater incentives if they increase their TKDN. So the concept is that we will change this — with higher TKDN, we will provide even greater incentives. We will take a more positive approach going forward regarding TKDN," he said.
According to Rosan, from 2024 to March 2025, seven EV manufacturers have declared the relocation of their investments and have commenced construction, with a total value of Rp15.4 trillion for planned EV car production with a capacity of 280,000 units per year.
"There are already seven companies — BYD, Citroën, Aion, Maxus, Geely, VinFast and VW. They have already declared their relocation and commenced operations. We can see that EV production will continue to increase," said Rosan.
BKPM is also working to attract investors for public electric vehicle charging stations (SPKLU) in Indonesia, in line with the rapid growth of EVs. The government is preparing incentives of up to 300% for private companies that develop research and development (R&D) facilities in Indonesia.
Rosan noted that average annual EV sales growth from 2019 to 2024 reached approximately 331%. Meanwhile, data from the Association of Indonesian Automotive Industries (Gaikindo) recorded electric car sales in 2024 at 43,188 units, surging 153.28% year-on-year compared to 17,051 units in 2023.
Total realised investment in the EV industry reached Rp157 trillion over the four-year period from 2020 to 2024.