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Jakarta Post

Consumers’ concerns haunt Indonesia’s electric vehicle agenda

  • News Desk

    The Jakarta Post

PREMIUM
Jakarta   /   Thu, December 5, 2019   /  12:18 pm
The Jakarta Post Image
President Joko "Jokowi" Widodo (center right) and executive vice chairman of Hyundai Motor Group Chung Euisun (center left) chat in front of Kona Electric after leaving a signature on the car, prior to the investment clinch ceremony that took place at the automaker’s plant in Ulsan, on Nov.26(The Korea Herald/ANN/ Hyundai Motor Group)

The government’s ambitious target in developing the country’s electric vehicle (EV) manufacturing program is facing problems related to demand such as prices, battery charging, maintenance, performance and variety of models. “The problems are making it difficult for the EV industry to grow,” Association of Indonesian Automotive Manufacturers (Gaikindo) secretary-general Kukuh Kumara said during a seminar on the preparations of the Indonesian automotive industry in entering the Industry 4.0 era. He said prices remained a major problem for Indonesian consumers, whose purchasing power was still relatively smaller than those in developed countries. The purchasing capacity of most middle-income Indonesians to buy a car was only about Rp 300 million (about US$21,400), far lower than the price of a midsize electric car, which reached about Rp 800 million, he added....