Chinese automaker BYD Auto plans to begin vehicle production at a new plant in Indonesia in early 2026, according to the country’s Investment Minister Rosan Roeslani.
The automaker entered the Indonesian market last June and had sold 11,220 vehicles in the country by the end of November - all imported from China. Companies committed to investing in battery electric vehicle (BEV) manufacturing facilities in Indonesia are allowed to import a certain quota of BEVs duty-free to help them establish a market presence ahead of local production.
According to local reports, BYD has acquired a 126-hectare plot of land in the Subang Smartpolitan industrial estate in West Java. The Minister confirmed this week: ““BYD has purchased land in Subang. We expect their manufacturing operations will start early next year.”
BYD is understood to have agreed to invest IDR11.7trn (US$721m) to set up a facility with a production capacity of 150,000 vehicles per year. The Seal is BYD’s best-selling model in Indonesia so far, followed by the Atto 3.
BYD opened a new vehicle assembly plant in Thailand last July, also with a production capacity of 150,000 units per year.
A separate report suggested that Chinese BEV manufacturer Xpeng plans to enter the Indonesian market in 2025.
