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4 Chinese Electric Car Manufacturers Make Indonesia a Manufacturing Base

The Indonesian government is encouraging four Chinese electric car manufacturers with factories in Indonesia to boost exports. These four manufacturers are Wuling, Chery, Neta, and Sokonindo (DFSK and Seres).

This was revealed during a meeting between Minister of Industry Agus Gumiwang Kartasasmita and the four automotive companies in Beijing recently, as quoted by Antara on Sunday (16/6/2024).

Agus stated that the four manufacturers responded positively to the Indonesian government’s expectations to increase exports, both by increasing volume and the number of export destination countries from factories in Indonesia.

“The companies agreed to make Indonesia a production base for right-hand drive electric vehicles to be exported to 54 countries that use right-hand drive cars,” said Agus Gumiwang after meeting with Chinese automotive industry players.

Neta assembles its latest car, the Neta V-II, at a local factory and has met the minimum local content requirement of 40%. Neta aims to increase this standard to 60% by 2025. Meanwhile, Wuling has made Indonesia its largest manufacturing base outside of China, exporting to 11 countries.

The government hopes that Wuling can increase the number of export destination countries and help Indonesia become a manufacturing hub for electric vehicles in the region. Additionally, Sokonindo and Chery also have factories in the country.

According to data from the Ministry of Industry, Sokonindo currently has a production capacity of 50,000 units, Wuling 120,000 units, and Chery can produce up to 8,000 units, while Neta has a production plan of 9,300 units.

Besides these four brands, newcomer BYD will also build a factory on 108 hectares of land in Subang, West Java.

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