Economists assess automotive incentives will boost national EV production

The Executive Director of the Institute for Development of Economics and Finance (Indef), Esther Sri Astuti, has stated that government automotive incentives are effectively stimulating the production of electric vehicles (EVs) in Indonesia. This policy support is intended to accelerate the domestic manufacturing sector and bolster the national transition toward sustainable transportation.

By providing financial and regulatory incentives, the government aims to increase the competitiveness of local EV production. Analysts suggest that these measures are critical for building a robust industrial ecosystem, encouraging both investment and increased output within the domestic automotive market.