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Indonesia introduces incentives for hybrid vehicle purchases

13/2/2025 16:46
Indonesian Minister of Industry Agus Gumiwang Kartasasmita announced on Thursday that the country has introduced incentives for the purchase of hybrid vehicles as part of efforts to boost the automotive industry.



"The government is providing incentives for hybrid vehicles to reignite consumer interest in automotive purchases, encouraging the public to start buying vehicles again. This is expected to stimulate our automotive industry," Kartasasmita said at the opening ceremony of the 2025 Indonesia International Motor Show at JIExpo Kemayoran in Jakarta.



The incentive, regulated under a Minister of Finance Regulation, took effect on Feb. 4, 2025.



"Given the current sluggish market conditions, all stakeholders, including the government, need to find breakthroughs to encourage consumer interest in automotive purchases. One of the key policies is the introduction of an economic stimulus package aimed at maintaining purchasing power, supporting the automotive sector, and promoting the green transition," he said.



He added that the Indonesian government plans to introduce incentives for two-wheeled electric vehicles in the near future.



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