Autodiva – The Indonesian government is currently considering providing incentives for mobile hybrid. However, to date, details regarding this policy are still unclear. This has sparked concern among automotive industry players, who are concerned that this uncertainty may affect the market.
Fransiscus Soerjopranoto, Chief Operating Officer (COO) PT Hyundai Motors Indonesia (HMID), revealed that the lack of clarity regarding hybrid incentives makes consumers tend to choose to wait before making a purchasing decision. Consumers worry that the price of the car they buy will drop after they buy it, if incentives are ultimately implemented. “At the moment, many prospective buyers are 'wait and see'’ because of these concerns,” explained Frans in the WhatsApp message he received.
this phenomenon, according to Fran, similar to the situation that occurred at the beginning 2021 when the government plans a Sales Tax discount program on Luxury Goods (PPnBM). PPnBM discount announced at the end 2020, but only applied in April 2021. Before this discount applies, the automotive market experienced a significant decline.
“At that time, The automotive market also experienced a decline before the PPnBM discount was implemented. We are concerned that a similar situation could occur again,” said Frans.
Frans added that the uncertainty regarding hybrid incentives should be understood as the government's effort to protect the current automotive industry. Hybrid, according to him, is part of combustion engine technology, and the government must decide whether to focus more on electric cars or continue to support hybrid cars.
“Hybrid is a subset of combustion engines. The government's decision will determine whether they will 'run’ towards an electric car or ‘walking’ with a hybrid car,” added Frans.
Nevertheless, Frans emphasized that Hyundai will still support whatever government decisions are taken. “Hyundai will comply with and implement every government policy, including in terms of developing electric cars in the country,” he said.
Frans also reminded that the Indonesian government is targeting 'net zero carbon’ in the year of 2060. The success of this target really depends on the government's firmness in establishing policies in various sectors, including automotive. “Hyundai is committed to complying with and implementing government regulations, as we support the development of electric cars in Indonesia,” he stressed.
In the face of this uncertainty, Automotive industry players hope that the government will immediately provide clarity regarding incentives for hybrid cars. This will help ease consumer concerns and maintain the stability of the automotive market, which is vital for the country's economy.
