Hyundai Seeks Clarity on EV Taxes Across Indonesia

3 hours ago 15

April 22, 2026 | 01:21 pm

TEMPO.CO, Jakarta - PT Hyundai Motors Indonesia (HMID) emphasizes the importance of clarity in the electric vehicle (EV) tax regulations across the region. This is in response to the implementation of Minister of Home Affairs Regulation No. 11 of 2026 concerning the basis for motor vehicle tax imposition, motor vehicle transfer fee, and heavy equipment tax.

According to the new regulation, electric vehicles are no longer exempt from taxes. Each local government will determine the tax amount for electric vehicles.

In response to the Jakarta Provincial Government's plan to prepare regulations on electric vehicle taxes, Chief Operating Officer of Hyundai Motors Indonesia, Fransiscus Soerjopranoto, stated the importance of certainty in regulations regarding taxes and incentives in the region. "Of course, we respect the authority of local governments in determining incentive schemes that are in line with their respective dynamics. We hope for regulations that provide confidence to consumers," he said, as quoted from Antara, Wednesday, April 22, 2026.

Fransiscus considers regulatory certainty regarding electric vehicle taxes and incentives a crucial factor in the transition to environmentally friendly electric vehicles. Considering that the conditions and priorities of each region differ, HMID understands that the tax and fiscal incentive regulations related to the use of EVs may differ in each region.

However, the company claims that variations in tax and incentive regulations in different regions should be balanced with supportive policies to keep electric vehicles competitive. The company stated that non-fiscal policies can be implemented to drive EV adoption.

"The differences in fiscal incentives between regions can also be balanced with non-fiscal measures, ranging from the development of charging infrastructure to various accessibility facilities for EV users, which can also play a significant role in shaping consumer decisions," Fransiscus explained.

The company proposed that a combination of fiscal and non-fiscal policies could be implemented to encourage the increased use of environmentally friendly vehicles.

Read: Indonesia Weighs EV Incentives, Finance Minister Says

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