Indonesia's electric vehicle market surged 49 percent in 2025, now representing 18 percent of new vehicle sales despite an 11 percent decline in overall traditional car sales, according to PwC's ASEAN-6 Electric Vehicle Readiness Survey 2025.
The growth reflects strong government support, including full luxury tax exemptions until 2025 and reduced import duties that make EVs more affordable for Indonesian consumers, with 99 percent of current EV owners reporting satisfaction—the highest rate in ASEAN.
Major obstacles remain, as infrastructure scored just 1.4 out of 5 for charging facilities, far below Singapore's 4.3, while 70 percent of owners charge at home due to inadequate public fast-charging networks and concerns about range anxiety.
Indonesia's EV readiness improved to 2.8 in 2025 from 2.0 last year, placing it in the middle of regional competition where Thailand and Vietnam lead with 30 percent and 33 percent adoption rates respectively.
According to Lukmanul Arsyad, Partner at PwC Indonesia, expanding charging infrastructure and connecting EV adoption with renewable energy development will be critical for Indonesia to emerge as a regional leader in electric mobility over the next two years.
