Jakarta.  Indonesia’s Industry Ministry is seeking to attract Chinese tech giant Xiaomi to produce electric vehicles in the country, as the company expands its EV lineup with the SU7 and YU7 models.

Industry Minister Agus Gumiwang Kartasasmita said Xiaomi’s investment in Indonesia’s EV production would strengthen the country’s green industry ecosystem while giving consumers more eco-friendly mobility options.

“We encourage Xiaomi to explore investment opportunities in environmentally friendly vehicle production in Indonesia. This will diversify mobility choices for Indonesian consumers while reinforcing the green industry ecosystem,” Agus said in a statement on Tuesday.

Agus made the remarks during a bilateral meeting with Xiaomi Communications Associate Government Affairs Director Jon Dove in Shanghai, China. Also in attendance were Industry Ministry Secretary General Eko S.A. Cahyanto, Director General of Metal, Machinery, Transportation Equipment, and Electronics Industries Setia Diarta, as well as Xiaomi Technology Indonesia Managing Director Zhao Wentao and Product Certification Manager Tel Lee.

Besides opening talks on EV investments, the minister also praised Xiaomi’s existing contribution to Indonesia’s electronics sector.

“Xiaomi has played a vital role in strengthening the local electronics supply chain. The government appreciates Xiaomi’s ongoing commitment to invest and expand its product lines in Indonesia,” Agus said.

He further encouraged the company to present a comprehensive five-year business plan, particularly if it plans to broaden its portfolio to include EVs and tablets. The roadmap, he said, should detail strategies for production facility development, either independently or through partnerships with local firms.

As of 2025, Xiaomi has invested Rp 3 trillion ($181 million) in Indonesia to support the production of smartphones, tablets, and televisions. The brand currently holds a 21 percent market share in Indonesia’s smartphone market as of the second quarter of 2025.

“Xiaomi’s investment has created jobs, facilitated technology transfer, and enhanced the competitiveness of Indonesia’s electronics industry. This aligns with the Making Indonesia 4.0 vision, which prioritizes the electronics sector as a key growth driver,” Agus said.

Beyond Xiaomi, other Chinese electric vehicle makers are also setting their sights on Indonesia. BYD is currently developing a $1.3 billion (Rp 21.6 trillion) manufacturing plant in Subang, West Java, slated to begin operations in January 2026. The facility is expected to reinforce BYD’s foothold in the increasingly competitive automotive market across ASEAN. Meanwhile, Neta Auto plans to scale up its local presence through an assembly collaboration with Handal Indonesia Motor. 

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