Indonesia Launches First Locally Assembled Electric Car

TheIndonesia.id - President Joko Widodo inaugurated the new plant of Hyundai Motor Group in Cikarang, West Java, and launched its first electric car fully assembled in Indonesia.

During the launch of Ioniq 5, Widodo said the event was the long-awaited moment as it marked an important milestone for Indonesia’s transition to electric vehicles (EV).

“Today, I witness and launch Ioniq 5 electric car. I’ve been waiting for this moment,” he said on Wednesday, March 16, as reported by Antara.

“We want to immediately start massive transition from fossil fuel cars to the environmentally friendly electric cars.”

He said, in the long run, EV is envisioned to become the main and preferred mode of transport in Indonesia, including in the country’s new capital Nusantara.

The President also reiterated that Indonesia welcomes every investment in the development of EV and its supporting industries, including the battery industry. Furthermore, Ioniq 5 is expected to display Indonesia’s commitment to EV and introduce the industry to global market.

Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan, Minister of Transportation Budi Karya Sumadi, Minister of Industry Agus Gumiwang Kartasasmita, Minister of Investment/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia, West Java governor Ridwan Kamil, executive chair of Hyundai Motor Group Euisun Chung, and South Korean Ambassador to Indonesia Park Tae Sung were also present on the occasion.

Ioniq 5 was first introduced to the public on February 23, 2021, and it’s the first Hyundai’s car to use its Electric Global Modular Platform (E-GMP).

Hyundai completed the construction of the PT Hyundai Motor Manufacturing Indonesia in December, with an initial production capacity of 150,000 units. It plans to invest US$1.55 billion in the plant, and the production capacity is due to increase to 250,000 units.

The 77.6-hectare manufacturing factory will produce vehicles to the Southeast Asian market, including Vietnam, Thailand, Malaysia, and the Philippines.

Hyundai is targeting to export 59,000 of completely knocked-down (CKD) units per year, and the plant is estimated to make economic contribution of more than US$20 billion within its first ten years and create 23,000 new jobs.