Last checked: 8 November 2026. Incentive policy keeps changing and press reports often disagree. This page summarises what we found in the media and is not tax advice. Before buying, confirm with an authorised dealer and the latest regulation (Ministry of Finance PMK).
Incentives reported to have ended at the end of 2025
- Import-duty and luxury-tax exemption for fully imported EVs (CBU): reportedly not extended beyond 31 December 2025.
- 10% VAT borne by the government for locally assembled EVs (CKD) meeting 40% local content: reportedly not continued.
Planned new incentive in 2026
- The government was reported to be preparing a tax incentive for about 200,000 electric vehicles (cars and motorbikes) from June 2026, with the amount depending on battery type. Details and status differ between sources; we have not found a final regulation confirming it.
Check these yourself
- Regional vehicle taxes (PKB, BBN-KB): set by local governments and may differ by province.
- Odd-even and traffic restrictions: exemptions for EVs are set by local governments (e.g. DKI Jakarta) and may change.
- Local content (TKDN): affects incentive eligibility; see the TKDN row on each car page when available.
Sources we read
- CNN Indonesia — EV incentives that were stopped (Jan 2026)
- Kompas — EV incentives end in 2026 (Dec 2025)
- Pajakku — Government prepares EV VAT incentive for June 2026
See also the ownership cost calculator and loan simulator.