Awaiting Hybrid Car Incentive Details, Gaikindo's Hopes

KatadataOTO – The government has officially provided a three percent incentive for hybrid cars with several requirements. However, until now, manufacturers are still waiting for the details of the regulation so they can register their products.

The percentage of TKDN (Domestic Component Level) will likely be one of the criteria that manufacturers must meet, similar to the regulations for electric car subsidy recipients.

It should be noted that in Indonesia there are several types of hybrid cars. Ranging from mild hybrid, strong hybrid to PHEV (Plug-in Hybrid Electric Vehicle) which will be widely available this year.

Gaikindo (Association of Indonesian Automotive Industries) hopes that all types of electrification can enjoy the hybrid car incentives to contribute to reducing carbon emissions.

Photo : KatadataOTO

“The growing development of the xEV market can have an impact on deepening the industry for xEVs, as well as the potential for increasing xEV exports,” said Kukuh Kumara, General Secretary of Gaikindo in his official statement, quoted on Tuesday (21/1).

Besides accelerating the adoption of environmentally friendly vehicles, the incentives are expected to help drive the growth of the automotive industry. Considering that in 2024, car sales have decreased due to a number of factors, such as the weakening of the rupiah against the dollar.

“In addition, (the incentives) will have an impact on increasing state revenues both at the central and regional levels, consisting of VAT, BBNKB, PKB, corporate income tax, and personal income tax,” Kukuh affirmed.

Manufacturers Still Awaiting Further Incentive Regulations

PT TAM (Toyota Astra Motor) has locally assembled hybrid car products such as the Kijang Innova Zenix HEV and Yaris Cross HEV. Both have the potential to be registered.

Photo : Honda HK

“Until now, we are still waiting for the policy details regarding the provision of hybrid incentives, including which models are eligible to receive them,” said Anton Jimmi Suwandy, Marketing Director of PT TAM to KatadataOTO some time ago.

Other brands like Honda have also responded positively to the incentive policy and will continue to study the details. However, their hybrid car lineup is still CBU (Completely Built Up), meaning fully imported.

“Meanwhile, we are still further studying the details of the new hybrid model tax scheme for its implementation,” said Yusak Billy, Sales & Aftersales Director of PT HPM (Honda Prospect Motor) when contacted by KatadataOTO.