Tangerang. One in every four new passenger cars sold in Indonesia is now an electrified vehicle, Industry Minister Agus Gumiwang Kartasasmita said on Thursday, highlighting the rapid transformation of the country's automotive market.

During the first half of 2026, sales of electrified vehicles reached 117,000 units, up 69.4% from a year earlier. The figure accounted for 26.8% of total passenger car sales, including 69,000 battery electric vehicles (BEVs).

"Today, one out of every four passenger cars purchased by Indonesians is an electrified vehicle. Five years ago, that figure was practically nonexistent," Agus said at the opening of the Gaikindo Indonesia International Auto Show (GIIAS) 2026 in Tangerang.

Despite the rapid growth of EVs, Agus said the government does not view battery-powered vehicles as competing with other automotive technologies.

Instead, Indonesia is pursuing a multi-technology strategy that includes battery electric vehicles, hybrid vehicles, more efficient internal combustion engines, biodiesel, and bioethanol, all aimed at lowering emissions and strengthening the country's energy security.

"We are not in a position to treat one technology as the opponent of another. All technologies are pathways toward the same goal -- lower emissions and stronger energy resilience," he said.

Agus added that the government's priority is ensuring those technologies are increasingly manufactured domestically, helping to strengthen Indonesia's automotive industry.

"What we want to accelerate is the objective, not standardize the method," he said. "The real question is how much of these technologies can be produced by Indonesians."

He said EVs would continue to receive strong government support because Indonesia holds one of the world's largest nickel reserves, giving the country a strategic advantage in producing electric vehicle batteries.

As a result, government policies and incentives will continue to encourage investment in EV manufacturing and battery production to maximize the value added from Indonesia's natural resources.

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