The Electric Car Market Is Predicted to Reach 20 Percent Next Year

KatadataOTO – New car sales in Indonesia are indeed still facing major challenges. Not long ago, Gaikindo (Association of Indonesian Automotive Industries) also revised its target.

If initially new car sales were projected to reach 850 thousand units. Now that figure has shrunk to 780 thousand.

Despite a decline in marketing, the electric car segment is actually on the rise. Because in 2024 the market share was only around 5 percent, it is believed it will reach double digits by the end of the year.

“This year, by the end of the year, the contribution of electric cars might be in the range of 12-13 percent,” said Kariyanto Hardjosoemanto, CEO of VinFast Indonesia some time ago.

Photo: Courtesy

He further said that the electric car market in the country still has potential. So electric vehicles can develop even further.

Besides VinFast, which markets environmentally friendly cars in Indonesia. More and more other brands are coming to bring electric vehicles into the country.

“We are confident that next year (the electric car market) can exceed 20 percent of the total volume,” explained Kerry.

He then felt optimistic that the electric car industry will continue to grow. In line with the economic conditions in the country.

VinFast itself entered Indonesia with electric cars. From the VF3, VF5, VF6, VF e34 to the VF 7, all have been marketed in the country.

Not only selling electric vehicles, VinFast is also building a supporting ecosystem. Starting with a range of SPKLU (Public Electric Vehicle Charging Stations) in various locations.

Then this Vietnamese brand also collaborates with a number of parties regarding after-sales.

Most recently, VinFast inaugurated an independent factory in the Subang area, West Java. The facility stands on a 171-hectare plot of land.

Officially operating in January 2026, the VinFast factory in Indonesia is said to be able to absorb 15 thousand employees.

Photo: KatadataOTO

The figure above will have a direct economic impact on the community around the factory.

VinFast has disbursed an initial fund for the factory investment of US$ 300 million or around Rp 4.8 trillion.

The first model to be produced there is the VF3 mini SUV. The vehicle is considered to have great potential in Indonesia.