Jakarta. Indonesia is attracting growing interest from global electric vehicle (EV) manufacturers, with seven automakers expressing intent to build production facilities in the country, Investment Minister Rosan Roeslani said on Tuesday.

Several of the companies have already submitted formal commitments and begun factory construction. The companies include Chinese giant BYD, French brand Citroën, Chinese automakers Aion and Gili, Maxus, German automaker Volkswagen, and Vietnamese EV firm VinFast.

The total investment value of these projects is estimated at Rp 15.4 trillion (approximately $911 million), with a combined annual production capacity of up to 281,000 vehicles.

“These seven EV producers have confirmed their plans to relocate investment and have already started construction, totaling Rp 15.4 trillion,” Rosan told reporters in Jakarta.

Rosan noted that EV sales in Indonesia have been growing rapidly. In 2024, sales more than doubled compared to the previous year. With such momentum, he stressed the need for Indonesia to develop a domestic EV manufacturing base and establish a fully integrated supply chain.

“The growth is highly significant. We must strengthen the ecosystem so Indonesia doesn’t end up merely being a consumer market,” Rosan stated.

He added that investment realization in Indonesia’s EV sector continues to show an upward trend, driven by several key factors.

First, Indonesia’s strong commitment to achieving net-zero emissions by 2060 -- or sooner -- is fueling the acceleration of EV adoption and making the country an increasingly attractive market.

Second, Indonesia’s vast natural resources, particularly nickel and bauxite used in EV batteries, provide a competitive advantage that is drawing investor interest.

EV sales in Indonesia grew by 153 percent in 2024 year-on-year. The market share of electric cars rose to 5 percent of total vehicle sales, up from just 1.7 percent in 2023.