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Jakarta Post

New EV policies to boost manufacturing

The Jakarta Post Image
Finance Minister Sri Mulyani Indrawati checks electric car Toyota Prius PHEV during GIIAS 2019 on Wednesday.(ANTARA FOTO/Muhammad Iqbal)
Rachmadea Aisyah
Tangerang, Banten   ●   Thu, July 25, 2019

The automotive industry will get a power injection from President Joko "Jokowi" Widodo’s two proposed policies that are expected to increase manufacturing growth and broaden the electric vehicle (EV) market in the country. 

The policies, a presidential regulation (Perpres) on electric vehicles and government regulation (PP) amendment on the luxury motorized vehicle tax, are inching closer to becoming reality as the President is slated to sign them this week. Both regulations will take effect two years after they have been signed. 

The country’s automotive industry has been stagnating in recent years. The Association of Indonesian Automotive Manufacturers (Gaikindo) has kept its annual automotive sales target at 1.1 million since the start of the year, unchanged from its 2018 target and lower than last year’s actual sales of 1.1...

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