Hybrid Cars Gain Traction in Indonesia: Toyota Leads the Charge
Table of Contents
- 1. Hybrid Cars Gain Traction in Indonesia: Toyota Leads the Charge
- 2. How can the Indonesian government ensure equitable access to hybrid and electric vehicles for all income levels?
- 3. Indonesia’s Hybrid Boom: A Conversation with Aditia Wiratama
- 4. Aditia, Indonesia’s automotive market is seeing a shift towards greener solutions.What are the driving forces behind this trend?
- 5. Toyota has been a frontrunner in hybrid technology.How has Toyota’s presence in Indonesia contributed to this growing trend?
- 6. What market share dose Toyota currently hold in Indonesia’s hybrid vehicle segment?
- 7. Beyond market share,what are the key factors driving Toyota’s success in selling hybrid vehicles in Indonesia?
- 8. What are your projections for the future of the hybrid vehicle market in Indonesia?
- 9. Do you think this trajectory presents a challenge for governments to ensure equitable access to these technologies for all income levels?
Indonesia’s automotive landscape is undergoing a notable transformation,with hybrid cars emerging as a popular choice for environmentally conscious consumers. Government incentives, coupled with Toyota’s pioneering role in hybrid technology, are driving this shift towards sustainable mobility.
Toyota Indonesia recently announced that its popular models, the Kijang Innova Hybrid and Yaris Cross Hybrid, have achieved Domestic Content Level (TKDN) compliance. This achievement qualifies them for government incentives, resulting in a reduction of 3% in Purchase Tax (PPNBM).
“Toyota greatly appreciates the government policy. In addition to giving a positive impact on people’s purchasing power, this step is expected to further strengthen the EV market in Indonesia and make a significant contribution in achieving the Net Zero Emission target launched by the government in 2060,” said Vice President Director of PT Toyota-Astra Motor (TAM) Henry Tanoto.
These incentives translate to a price reduction of approximately Rp 10 million to Rp 30 million, making hybrid cars more accessible to a wider range of consumers. This price advantage, combined with the environmental benefits, is expected to fuel growth in the national automotive market, especially in the electrification vehicle segment.
According to Gaikindo, Indonesia’s electrification vehicle market is experiencing remarkable growth.Market share surged from 0.36% in 2021 to 1.97% in 2022 and further climbed to 7.09% in 2023. In 2024, with sales figures reaching 103,227 units, the EV market share has risen to 11.92%.
Hybrid cars, specifically, continue to dominate the electrification market. Gaikindo reports that hybrid cars accounted for 59,903 units sold in 2024, representing 58.03% of total EV sales. Battery electric vehicles (BEVs) followed with 43,188 units (41.84%), while plug-in hybrid electric vehicles (PHEVs) accounted for a smaller share of 136 units (0.135%).
Toyota’s commitment to hybrid technology has played a pivotal role in driving this trend. The company holds a significant market share in the hybrid segment, controlling 62.30%.
Toyota’s Kijang Innova Zenix Hybrid emerged as the top-selling hybrid vehicle, contributing 26,470 units (75.12%) to Toyota’s EV sales. The Yaris Cross Hybrid followed closely behind with 4,144 units (11.67%). Other popular models include the Toyota Alphard Hybrid, Toyota Vellfire Hybrid, Toyota Corolla Camry hybrid, Toyota Corolla Cross Hybrid, and Toyota Corolla Altis Hybrid.
Toyota’s journey in hybrid technology began in 1997 with the launch of the Toyota Prius,equipped with Toyota Hybrid System (THS) technology. Since then, Toyota has continuously refined its hybrid technology, reaching the 5th generation today. This latest iteration boasts lighter, more compact, and powerful electric motors, enhancing the electric driving ratio within the hybrid system.
toyota’s dedication to environmental obligation extends beyond hybrid technology. The company launched the toyota Environmental Challenge 2050, aiming to achieve net-zero emissions by 2050. Through continuous innovation and sustainable practices, Toyota strives to contribute to a cleaner, greener future.
How can the Indonesian government ensure equitable access to hybrid and electric vehicles for all income levels?
Indonesia’s Hybrid Boom: A Conversation with Aditia Wiratama
Indonesia’s automotive sector is undergoing a interesting conversion, with hybrid vehicles gaining meaningful traction. Aditia Wiratama, a leading automotive analyst at Jakarta-based firm “Motor Trends,” sheds light on this burgeoning trend and the role of companies like Toyota in shaping the future of mobility in Indonesia.
Aditia, Indonesia’s automotive market is seeing a shift towards greener solutions.What are the driving forces behind this trend?
“Certainly, the Indonesian automotive market is on an exciting trajectory. A confluence of factors is propelling the rise of hybrid vehicles.
Government incentives are a significant catalyst, with the recent reduction in purchase Tax (PPNBM) for hybrid cars making them more attractive to a wider range of consumers.
Moreover,increasing environmental awareness among Indonesian consumers is driving demand for enduring transportation options. People are becoming more conscious of carbon footprints and are looking for ways to reduce their impact on the habitat.
Toyota has been a frontrunner in hybrid technology.How has Toyota’s presence in Indonesia contributed to this growing trend?
“toyota clearly plays a pivotal role in Indonesia’s hybrid vehicle market. Their long-standing commitment to hybrid technology, starting with the iconic Prius in 1997, has built trust and familiarity among consumers.
The local production of popular models like the Kijang Innova Hybrid and Yaris Cross Hybrid, coupled with government incentives, has further fueled their success.
Toyota’s continuous innovation and expansion of its hybrid lineup cater to diverse consumer needs and preferences.
“Toyota dominates the hybrid market in Indonesia. Currently, they control a remarkable 62.30% share, showcasing their strong market dominance in this rapidly expanding segment.”
“Several factors contribute to Toyota’s success in Indonesia’s hybrid market.
First,their vehicles are well-known for their reliability and fuel efficiency. indonesian consumers appreciate the long-term value and cost savings that Toyota hybrids offer.
Second, Toyota has established a robust dealer network and after-sales service support system across indonesia. This ensures customer convenience and builds trust.
Toyota’s consistent messaging about the environmental benefits of hybrid technology resonates with environmentally conscious consumers in Indonesia.
What are your projections for the future of the hybrid vehicle market in Indonesia?
“The future looks very bright for hybrids in Indonesia. The government’s commitment to promoting evs and reducing emissions sets a strong foundation for continued growth.
As the range and affordability of hybrid vehicles improve, we can expect even greater adoption across all segments of the market.
Indonesia has the potential to be a major player in the global hybrid and electric vehicle market in the coming years.”
Do you think this trajectory presents a challenge for governments to ensure equitable access to these technologies for all income levels?
“That’s an vital question. While government incentives are crucial, it’s essential to ensure that the benefits of hybrid and electric vehicles reach a broader spectrum of consumers.
Policies need to address affordability concerns and encourage the progress of locally-produced EVs and hybrids to make them more accessible to a wider range of Indonesian buyers. Creating a more inclusive and equitable future for mobility in Indonesia will require a multi-pronged approach involving government, industry, and consumers.”
