Ismail Ashlan, General Manager Marketing & Public Relations of Subaru Indonesia, explained the reasons why the Japanese car manufacturer has not yet introduced its electric vehicles in Indonesia. Despite other brands having already introduced their electric cars in the country.
Ismail acknowledged that electric cars are popular in the global market, but he believes that the situation in Indonesia is not compelling enough for Subaru to market its electric vehicles. Currently, Subaru’s product line in Indonesia is considered sufficient to meet the specific demands of the Indonesian car market.
“In the niche or premium segments, they already exist, even in the medium and economic segments, they also exist, so from the market perspective, we don’t see an urgent need to enter the electric car market,” said Ismail.
Another factor is the low sales of electric cars in Indonesia. Although their popularity is increasing, Ismail explained that electric car sales in Indonesia contribute minimally to the total car sales in the country.
“If we look at the total sales of around 900 thousand units per year, electric car sales are still less than 10 percent, not even reaching double digits. There might be an increase this year, but it also depends on the push from brands that focus on electric vehicles,” Ismail explained.
Furthermore, Subaru is still focused on introducing cars that use Symmetrical All-Wheel Drive technology to the Indonesian market.
Despite the government’s encouragement for car manufacturers to build electric car factories in Indonesia, Ismail explained that Subaru will wait for market developments and demand levels before deciding to build production facilities in the country.
Consumer preferences are also an important consideration. Ismail explained that Subaru customers usually buy cars based on specific preferences, such as interest in sports cars or adventures.
“So for them, what matters is not the type of propulsion, not about electric cars, but more about enjoyment and the experience of driving around,” Ismail added.
Therefore, Ismail emphasized that marketing electric cars in Indonesia is not included in Subaru’s plans until 2026.
