Indonesian govt to establish low-cost green car policy

agya

The Indonesian government will put in place a regulation on the production of low-cost green cars (LCGC) after an automotive manufacturer there invested heavily in green cars, according to a report published by the Antara news agency.

“The ministry of finance will ensure that the LCGC regulation is put in place,” said Ministry of Industry secretary general Anshari Bukhari. He added that the ministry wants to implement the regulation by the end of this year.

Finance Minister Agus Martowardojo has prepared the regulation on LCGC because of the government’s concerns regarding the tax incentives for the production of low-cost cars, according to Anshari. “It also reflects investors’ trust in the government,” he said.

Anshari said the Toyota Group has upped its production capacity of cars that comply with LCGC requirements, among which are an engine capacity of below 1,200 cc and a minimum fuel consumption of 20-22 km per litre. The automaker recently launched the NAV1 eight-seater MPV in the country.

In September, Indonesian-based manufacturer Astra launched the Toyota Agya (pictured) and its Daihatsu Ayla sibling at IIMS 2012, both of which should fall under the LCGC category.

Anshari noted that the policy will boost car production in the country. The Indonesian automotive industry has enjoyed a 7.52% growth as of the third quarter of this year.

“The automotive, steel and food industries have contributed to the national industrial growth significantly,” he said.

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Jonathan James Tan

While most dream of the future, Jonathan Tan dreams of the past, although he's never been there. Fantasises much too often about cruising down Treacher Road (Jalan Sultan Ismail) in a Triumph Stag that actually works, and hopes this stint here will snap him back to present reality.

 

Comments

  • doohhh on Dec 27, 2012 at 11:21 am

    new viva?

    Like or Dislike: Thumb up 0 Thumb down 0
  • I remember somewhere that our finance minister is trying to make Malaysia into a green car hub of SEA, during the launch of the truly ridiculous CKD Honda Jazz Hybrid.

    Having been unable to compete with Thai and Indo in car manufacturing , we will focused on Green cars. Well looks like we have competition , a competition ,as to way things are now, that we will play second place

    Like or Dislike: Thumb up 20 Thumb down 1
    • unforgiven on Dec 27, 2012 at 1:27 pm

      Ageed, I really hate the CKD Jazz Hybrid because it’s more expensive than the CBU Japan Jazz Hybrid, if we put in all the airbags, disc brakes, paddle shifters, auto lights/wipers, cruise control, etc…

      CKD M’sia is more expensive than fully imported CBU Made in Japan Honda Jazz, what is wrong?

      Same goes to CKD Inspira also more expensive than fully imported CBU Made in Japan Lancer GT (Check the Langkawi price to confirm). What is wrong again?

      Like or Dislike: Thumb up 0 Thumb down 0
    • lets be clear. our stupid governments incentive is no tax for the buyers. Which makes this almost no different from many other countries in the world. Here, indonesia is putting tax incentives for companies. That is already better then what this stupid country has to offer.

      Like or Dislike: Thumb up 11 Thumb down 1
    • Azlanoh on Dec 27, 2012 at 3:47 pm

      Not enough competition for Proton, now it is competition among nations (govt vs govt) to attract investments and creating more new jobs.

      NAP, Tongkat, Protectionism etc. it’s all irrelevant now and only embarrass yourself on global scale!

      Like or Dislike: Thumb up 12 Thumb down 1
  • Toyota group = passo..

    Like or Dislike: Thumb up 0 Thumb down 0
  • alldisc on Dec 27, 2012 at 11:32 am

    indonesia 1 step ahead again…. similar policy with thailand.

    Like or Dislike: Thumb up 18 Thumb down 1
  • Expatriate VN on Dec 27, 2012 at 11:44 am

    Duh……….
    Indon is LCGC “happening place”!

    Thai is “Detroit of East Asia”!

    And finally, Bolehland is the “Sick Automotive of Asia” come with Jaguh Kampung No. 1 & 2 players!

    Like or Dislike: Thumb up 21 Thumb down 5
  • Gabla on Dec 27, 2012 at 11:45 am

    With Thailand’s eco car and Indonesian LCGC policy, it would be an incompetent management if Proton does not have a plan for a sub 1.2L car in the near future.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Expatriate VN on Dec 27, 2012 at 11:47 am

    Toyota Agya

    Daihatsu Ayla

    Perodua Aiya!!!!!!!!

    Like or Dislike: Thumb up 33 Thumb down 3
  • along on Dec 27, 2012 at 12:07 pm

    nothing to worry about…
    We are better…
    We have NAP maaa….
    Nothing can beat our NAP…

    NAP, NAp, Nap, nap, zzzzzzzz….

    Like or Dislike: Thumb up 30 Thumb down 2
  • Preve Savvy on Dec 27, 2012 at 12:46 pm

    Looks like Dr Mamak also the Father of Indon automotive industry. Bagus ya Pak!

    Indeed MITI stands for Ministry of Indon Trade Industry.

    Memang brengsek punya polisi mobil NAP (Never Against Proton)! Penyusah rakyat Malaysia No.1!

    Like or Dislike: Thumb up 15 Thumb down 9
  • MoFaz on Dec 27, 2012 at 12:55 pm

    soon, indonesia will take over thailand as detroit of asia…

    Like or Dislike: Thumb up 5 Thumb down 6
  • Stupid la gomen malaysia, mane NAP ni?

    Like or Dislike: Thumb up 4 Thumb down 6
  • Our gov practice low quality high cost policy.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Azlanoh on Dec 27, 2012 at 3:36 pm

    Thailand, Indon shows that car industry and patriotism not related at all.

    All they care is how many MILLION JOBS created to their rakyat. Here, it’s all about feeding BILLIONS EASY MONEY to KRONIES!

    Like or Dislike: Thumb up 1 Thumb down 0
  • Hadi75 on Dec 27, 2012 at 4:50 pm

    Our government policies only look good on paper….but the execution sucks big time….

    Like or Dislike: Thumb up 0 Thumb down 0
  • Lets vote current one out and let new laws to be implemented la. Realli tired of current G policies. Exp, rm200 rebate for smart phone below rm500. Tats ridiculous. All d policies being made funnily when GE is near. Are they digging their own grave? Coz all i can see is that they are goin down the next GE. They wont win much, even if they still stay in the parliament.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Mahathir mamak on Dec 27, 2012 at 11:35 pm

    aiyoooo. macamana BN mau menang PRU kali ni. aiyoooo.

    Like or Dislike: Thumb up 0 Thumb down 0
 

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