Jakarta (ANTARA) - The Ministry of Investment and Downstreaming has informed that investments in the automotive industry have recorded a 43-percent rise overall in the last five years.Director of investment deregulation at the ministry, Dendy Apriandi, said here on Tuesday that as of September 2024, his ministry recorded investments of Rp31.7 trillion, up 43 percent from Rp11.04 trillion in 2019.
The investment of Rp31.7 trillion comprised foreign investments of Rp28.15 trillion and domestic investments of Rp3.6 trillion.
"Among the growing industries, there are the battery industry, the four-wheeled vehicle industry, and the two-wheeled vehicle industry. The composition is 15 percent, 73 percent, and 11 percent," he said.
He further informed that in the 2019–2024 period, Japan invested Rp75 trillion in the automotive sector, followed by South Korea (Rp44.25 trillion), Singapore (Rp5.5 trillion), Hong Kong (Rp3.59 trillion), and China (Rp1.04 trillion).
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During the period, investment also flowed heavily into the automotive industry, which recorded fund inflows of Rp107 trillion, followed by two- and three-wheeled vehicles at Rp16.7 trillion, and batteries at Rp22.1 trillion.
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Apriandi affirmed that his ministry also implemented several strategies to attract automotive investment. They included providing vocational education programs to human resources in keeping with market conditions and offering competitive investment incentives, especially for electric vehicles, and improving regulations, he said.
They further included the tax holiday facility, tax allowances, and import duty exemptions for electric vehicle industry investment.
