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View all search resultsElectric motorcycle sales drop 40% amid subsidy uncertainty
The fall in new purchases highlighted the sector’s vulnerability to policy shifts as producers and consumers remain in wait-and-see mode over future incentives.
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Officials exchange electric motorcycle batteries at Public Electric Vehicle Battery Exchange Station (SPBKLU) in the Electrification Director General building, Jakarta, on Aug. 31, 2020. T (JP/Dhoni Setiawan/Adi/Dyn)
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ales of electric motorcycles slumped by 40 percent year-on-year (yoy) in the entirety of the first half of 2025, dragged down by consumer hesitation amid uncertainty over the continuation of government subsidies for new purchases, industry players have said.
Indonesian Electric Motorcycle Industry Association (Aismoli) pointed out that the steepest drop occurred among manufacturers affiliated with the association.
The fall in new purchases highlighted the sector’s vulnerability to policy shifts as producers and consumers remain in wait-and-see mode over future incentives.
“Q2 was slightly better than Q1 this year, but year-to-date we’re still down by 40 percent,” said Tekno Wibowo, commercial director at local auto manufacturer Polytron, on June 11 as quoted by Kontan, referring to data from Aismoli.
“The biggest factor is uncertainty over subsidies. Many consumers are postponing purchases in hopes of receiving the Rp 7 million [$430] incentive.”
Read also: EV industry urges govt to reinstate two-wheeler subsidies as market slows
Indonesia’s two-wheeler subsidy program, which ended late last year, had supported around 90 percent of electric motorcycle sales and helped build momentum over the previous two years.
