Indonesia said it will be able to decrease the domestic prices of electric vehicles (EV) by up to 30 percent by taking the initiative to manufacture its own EV batteries.
The Minister of Industry said the prices of electric cars will drop by 20-30 percent as EV batteries had been quite costly, with the prices equivalent to 40-50 percent of the prices of EV cars.
The country aims to become the largest EV battery producer in the region and is keen to producing the batteries domestically in a bid to directly cut the prices of the eco-friendly vehicles.
In addition to decreasing the prices of electric cars, domestically the minister said the manufactured EV batteries would also lead to an increase in the value of the domestic component level of such vehicles.
There has been indications that French and Vietnamese automotive companies, Renault and VinFast, had conveyed their readiness to place capital in Indonesia.
