BYD set to finish US$1B EV plant in Indonesia by year-end

Source： Release Date：2025-03-14 324

Metalworking Automotive

China’s leading electric vehicle manufacturer, BYD, is set to complete construction of its $1 billion manufacturing plant in Indonesia by late 2025, reinforcing its ambition to dominate a market traditionally led by Japanese automakers.

Expanding Production to Support Local and Export Markets

Eagle Zhao, President Director of BYD Indonesia, confirmed that the project remains on schedule. "Every stage of local manufacturing is progressing smoothly. We are committed to completing construction by the end of 2025," he stated in an interview with Reuters and CNBC Indonesia. The plant, located in Subang, West Java, will have an annual production capacity of 150,000 electric vehicles (EVs).

While initially focused on meeting domestic demand, BYD’s long-term vision for the facility includes serving export markets. The Indonesian government has granted BYD temporary import duty exemptions on its EVs, a move aimed at boosting demand while incentivizing local production. Indonesia is targeting 600,000 domestically produced EVs by 2030.

BYD’s Growing Market Share in Indonesia

Since entering the Indonesian market in 2024, BYD has rapidly gained traction, selling 15,429 units in its first year. From January to November 2024, the company led Indonesia’s battery-electric vehicle (BEV) sales, capturing approximately 36% of the market. Zhao expects the new factory to begin production soon after its construction is finalized.

Currently, BYD offers four EV models in Indonesia:

Seal (sedan)
Atto 3 (SUV)
Dolphin (hatchback)
M6 (seven-seater MPV, the top-selling model of 2024)

In 2025, the company plans to introduce additional models to accelerate its sales growth and will also launch its premium Denza brand in Indonesia.

BYD’s Expanding Footprint in Southeast Asia

BYD continues to challenge Japanese and Korean automakers across Southeast Asia. The company exceeded its global sales target in 2024, delivering over 4 million EVs worldwide.

Indonesia is not the only country benefiting from BYD’s aggressive expansion. In 2024, the company opened its first EV plant in Southeast Asia in Thailand, a $490 million facility with a production capacity of 150,000 units per year, including plug-in hybrids.

Meanwhile, in Singapore, BYD outperformed Tesla in sales during the first half of 2024, further solidifying its market position.

With the completion of the Indonesian plant, BYD is poised to further cement its dominance in the region and contribute significantly to Southeast Asia’s shift toward sustainable mobility.