By President Joko Widodo (Jokowi) stated that electric vehicles are the future of Indonesia’s automotive industry, as the country has abundant supplies of raw materials, such as nickel, that are essential for the production of electric vehicles. Jokowi made the remark after opening and visiting the Indonesia International Motor Show (IIMS) 2024, where he saw various innovations in the automotive sector, especially in electric vehicles.
Jokowi officially opened and visited the IIMS 2024, the largest automotive exhibition in Indonesia, at the Jakarta International Expo on Thursday, February 15, 2024. The exhibition showcased 53 vehicle brands and 187 participants from the automotive industry, creative industry, and supporting sectors.
Jokowi expressed his appreciation for the progress and development of the automotive industry in Indonesia, which is one of the main contributors to the country’s economy. He also praised the industry for its resilience and adaptation amid the challenging market conditions and the global semiconductor shortage.
Jokowi also observed the latest innovations and technologies in the automotive sector, especially in electric vehicles, which he said are the future of the industry. He also tried some of the products on display, such as the VF 5 electric car from VinFast, a Vietnam-based automotive company that is interested in investing in Indonesia.
Jokowi: Indonesia has the Potential to Become a Producer of Electric Vehicles
Jokowi said that Indonesia has the potential to become a producer of electric vehicles, as the country has abundant supplies of raw materials, such as nickel, that are needed for the production of electric motors and batteries. He said that Indonesia is the largest producer of nickel in the world, and that the government is developing a downstream industry for nickel processing.
Jokowi also said that the government is supporting the development of electric vehicles in Indonesia, by providing various incentives and policies, such as reducing the value-added tax (VAT) for electric vehicle products, and creating a conducive environment and infrastructure, such as electric vehicle charging stations and smart city projects.
Jokowi said that the government’s goal is to make Indonesia a global hub for the production and export of electric vehicles, and to compete with other countries in the region and the world. He said that the development of electric vehicles will also contribute to the country’s efforts to reduce greenhouse gas emissions and achieve carbon neutrality by 2060.
Jokowi: Electric Vehicles will Create a New Balance in the Automotive Industry
Jokowi said that electric vehicles will create a new balance in the automotive industry, as they will change the dynamics and mechanisms of the industry. He said that electric vehicles will require less components and maintenance than conventional vehicles, and that they will also create new opportunities and challenges for the industry players.
Jokowi said that the industry needs to prepare for the transition to electric vehicles, and to invest more in research and development, innovation, and human resources. He said that the industry also needs to collaborate with other stakeholders, such as the government, academia, and civil society, to create a smart mobility ecosystem that integrates space and earth.
Jokowi said that he hopes that the IIMS 2024 will inspire and motivate the industry to continue to innovate and improve its products and services, and to meet the needs and expectations of the customers and the society. He said that he believes that the industry will be able to overcome the challenges and seize the opportunities in the future.