
Automotive
StrategicAutomotive Industry
The automotive industry includes vehicle assembly, parts manufacturing, and related components
INDONESIAN AUTOMOTIVE: DRIVING THE FUTURE

ASEAN's manufacturing hub, pioneering the electrification era.
Indonesia is the "Detroit of Southeast Asia." With the largest domestic market in the region and massive production capacity, we are the preferred manufacturing base for global automotive brands.
Currently, Indonesia is leading the green revolution. Leveraging the world's largest nickel reserves, we are building a fully integrated electric vehicle (EV) ecosystem—from nickel ore mining, battery production, to electric car assembly. Join this mobility transformation.
[Download EV Roadmap] [View Investment Incentives] [Contact Us]
BY THE NUMBERS
2 Million+ Units
Installed annual car production capacity, making Indonesia one of the largest production bases in ASEAN.
Source: GAIKINDO
#1 Nickel Reserves
Holder of the world's largest nickel reserves, the primary raw material for electric vehicle batteries.
Source: USGS
80+ Countries
Export destinations for Indonesian-made Completely Built-Up (CBU) cars, covering Asia, the Middle East, Africa, and Latin America.
Source: Ministry of Industry
1 Million+ Units
Target production of four-wheeled vehicles or more by 2025, with a focus on increasing the proportion of electric vehicles.
Source: Government Plan
WHY INVEST IN INDONESIAN AUTOMOTIVE?
Complete End-to-End EV Ecosystem
Indonesia is the only country in the region capable of integrating the EV supply chain from upstream to downstream. Investors can enter at every value point: nickel processing (HPAL), battery cell factories, to vehicle assembly (OEM).
Giant Domestic Market
With a relatively low car ownership ratio (approximately 99 cars per 1,000 inhabitants), the domestic market has vast growth potential as middle-class per capita income rises.
Dedicated Export Infrastructure
The presence of Patimban Port in West Java, dedicated as an international car terminal, facilitates export logistics with a capacity of millions of units, directly connecting industrial centers in Cikarang-Karawang to global markets.
Aggressive Fiscal Incentives
The government offers Tax Holiday, Tax Allowance, and Government-borne VAT (PPN DTP) incentives specifically for the battery-based electric vehicle (KBLBB) industry to accelerate local adoption and production.
[Image: Aerial view of thousands of new cars waiting for export at Patimban Port]
KEY SECTOR OPPORTUNITIES
Electric Vehicles (EV) & Batteries
This is the current investment highlight. Opportunities are open for the development of battery Gigafactories, EV assembly plants (cars & motorcycles), and supporting infrastructure such as Public Electric Vehicle Charging Stations (SPKLU).
[Learn About the Battery Ecosystem]
Components & Spare Parts (Tier 1 & 2)
Indonesia has thousands of small and medium component industries (IKM). Investment opportunities exist in high-tech components not yet widely produced locally, such as semiconductors, automatic transmission systems, and electric motors.
[List of Component Needs]
Two-Wheeled Vehicles (Motorcycles)
As the world's 3rd largest motorcycle market, the transition to electric motorcycles presents a massive business opportunity. The government targets millions of electric motorcycles on the road in the coming years through conversion and new purchase subsidy schemes.
[View Two-Wheeled Vehicle Market]
Battery Recycling Industry
In line with circular economy principles, Indonesia requires investment in battery recycling technology to recover valuable materials such as lithium and cobalt from used batteries.
[Circular Economy Opportunities]
MEET OUR AUTOMOTIVE SPECIALISTS
Ir. Hendra Gunawan – Director of Maritime Industry, Transportation Equipment, and Defense Equipment
Maya Puspita – EV & Battery Ecosystem Specialist
Aditya Nugraha – Manufacturing Investment Consultant
Ministry of Industry & BKPM
Jl. Jend. Gatot Subroto, Jakarta, Indonesia
