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Eco-friendliness comes at a cost, Toyota is thinking hard about producing hybrid cars in Indonesia. (Image via detikOto)

The fate of hybrid Toyota in Indonesia

Alfonsus Adi Putra
Business & Industry
Automotive & Equipment
Oct 23, 2019
2075
The Operating Officer of Toyota Motor Corporation, Masayoshi Shirayanagi, stated that the price of hybrid vehicles in Indonesia is relatively expensive due to having to import the parts directly from Japan. Therefore, to cut the production cost, Toyota had prepared a plan for hybrid, electric vehicles in Indonesia.

One of the main focuses of Toyota is to locally manufacture these hybrid vehicles as told by Shirayanagi. The Operating Officer told that it is Toyota’s specialty to produce hybrid and electric vehicles at a reasonable price.

The Indonesian government itself is attracting other automotive companies to invest in hybrid and electric car production in Indonesia, through the Presidential Regulation (Perpres) no. 55 of 2019 regarding electric vehicles stipulated on 12 August 2019 and tax incentives being compiled.

Despite the attractive regulations and incentives, Shirayanagi said that Toyota has not had any projection yet about what kind of hybrid car it should launch in Indonesia. However, Shirayanagi said that in Indonesia, the demand for hybrid cars is getting bigger.

Executive General Manager of PT Toyota-Astra Motor (TAM), Fransiscus Soerjopranoto, stated that the company is still waiting for Ministerial Regulation (PM) as technical instruction to support the Perpres regarding electric vehicles, adding that it will clear the air for Toyota’s business direction in the future.

Soerjopranoto concluded that Toyota produces many types of hybrid and electric cars, and it will be adjusted with consumers’ demands, government regulation, and the condition in Indonesia. Whilst being eco-friendly, the production still has to be discussed with the Indonesian government.

Source: https://bit.ly/33PGbk8

Business , Automotive , ASEAN , Indonesia , Toyota , Japan , Hybrid , Electric , Environment , Production
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