Indonesian Minister of Industry, Agus Gumiwang Kartasasmita has revealed that the government has set the target to produce 10 million units of motorcycle per year by 2025.
"The government targets (motorcycle production) to grow to 10 million units in 2025, with 1 million units for the export market, and 20% are electric motorcycles," said Minister of Industry Agus at the opening of the 2019 IIMS Motorbike at Istora Senayan, Jakarta.
According to him, this target is in line with the government's desire to make Indonesia the center for electric vehicle production in Southeast Asia in 2030. In addition, he also presented data on the growth of the national motorcycle industry which he considered to develop quite well and be able to contribute to the national economy through exports, investment and employment.
"Since 2010, the average motorcycle growth has reached 6.5 million units per year. Many local components have also grown in line with the increased production," Agus said.
Furthermore, the use of local components ( motorcycle content) has been above 90% of the motorcycle production figures since January-October 2019, which has exceeded 6.2 million units. Of the 6.2 million units, 5.5 million of them are used in the domestic market, and the rest are exported to various countries such as the Philippines, Thailand, Japan and Latin America.
Agus also hopes that with the growth of motorcycles and the target of using electric vehicles in Indonesia, it will attract public to start using electric vehicles in near future.
"The hope is that more and more people are using electric vehicles, both four or two wheelers," he said.
"In addition to being environmentally friendly, it will also reduce the trade balance deficit where the import component of oil and gas is very burdensome on the trade balance," Agus continued.