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China's BYD to build factory at Subang Smartpolitan

The world's leading EV maker has signed an MoU to build a manufacturing plant in West Java with an annual capacity of 150,000 units to start operating in January 2026.

Ruth Dea Juwita (The Jakarta Post)
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Jakarta
Wed, May 1, 2024

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China's BYD to build factory at Subang Smartpolitan The BYD Seal is displayed on Jan. 18, 2024 during the Chinese electric vehicle maker's launch event in Jakarta. (JP/Aditya Hadi)

C

hinese electric vehicle (EV) manufacturer BYD would construct a manufacturing facility in Subang, West Java, the executive of its Indonesian subsidiary announced on Tuesday.

The facility is to be located at the Subang Smartpolitan industrial estate, specifically on a 108-hectare site in the Phase 2 development area, and is to comprise a production factory, a research and development center as well as a training facility.

“This industrial area meets our criteria in terms of size, proximity, environment and infrastructure requirements,” BYD Motor Indonesia president director Eagle Zhao revealed at the Periklindo Electric Vehicle Show (PEVS) on April 30, the opening day of the six-day auto show organized by the Indonesian Electric Vehicle Industry Association (Periklindo) at Jakarta International Expo in North Jakarta.

Zhao also signed during the event a memorandum of understanding (MoU) with PT Suryacipta Swadaya, which owns Subang Smartpolitan, saying afterward that the land handover had been scheduled for August.

Construction on the Subang facility, which is to have an annual production capacity of 150,000 units, is to be carried out in phases toward an operation date in January 2026.

The announcement comes three months after the company vowed to establish an Indonesian plant, following the government’s decision to grant eligible carmakers tax incentives on imports of completely built-up EVs until 2025, as stipulated in Presidential Regulation No. 79/2023.

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