Several international and domestic automakers are seeking to expand their presence in the electric vehicle sector, with VinFast among those offering subsidised models in Indonesia, subject to binding terms and conditions that require manufacturers receiving subsidies to invest locally and market an equal number of domestically produced units.

"Only private vehicles are participating in the government incentive scheme," said Kariyanto Hardjosoemanto, CEO of VinFast Indonesia.

"VinFast Indonesia must fulfil its obligations by producing electric cars locally in accordance with the scheme," he further added.

"That's a commitment from all brands (subsidy recipients). Those receiving CBU facilities must produce one-to-one," Kerry said.

Commercial vehicles have a separate scheme that differs from the import incentives for private electric cars.

VinFast Indonesia recently inaugurated its independent factory in Subang, West Java. The facility is scheduled to begin operations in early 2026.

The VinFast VF3 will be the first model produced there. This model accounts for approximately 70% of VinFast's sales.

Following the VF3 mini electric car, VinFast will produce the Limo Green, an electric MPV. This model will compete with the BYD M6 and Aletra, which are already available in Indonesia.