Indonesia is in talks with Hyundai Motor Group to explore a collaboration for the national car project based on electric vehicle (EV) technology.
Coordinating Minister for the Economy, Airlangga Hartarto, said discussions with Hyundai are ongoing and will continue at a more detailed level.
“They are ready with certain models and that requires more detailed discussions. Of course, when it comes to vehicles, there are design and platform considerations − but the platform being discussed is EV-based,” Airlangga said on the sidelines of the bilateral meeting between President Prabowo Subianto and New Zealand Prime Minister Christopher Luxon in Gyeongju, South Korea, on Friday, October 31, 2025.
Earlier, Airlangga also met with Ambassador Sung Kim, President of Hyundai Motor Group, during the first day of the APEC Summit in Gyeongju on Thursday, October 30, 2025. The two discussed strategic cooperation opportunities, including Hyundai’s potential investment expansion in Indonesia.
One of the main topics was the development of the national car project and the direction of Indonesia’s automotive industry transformation toward future-oriented vehicle technologies.
Hyundai reportedly expressed strong interest in participating in the project, which the government hopes will strengthen Indonesia’s position as a leading automotive hub in Southeast Asia.
Meanwhile, Minister of Industry Agus Gumiwang Kartasasmita confirmed that his ministry has proposed to include the national car project in the list of National Strategic Projects (PSN).
“We have already submitted the proposal to make the national car program a PSN, and I’ve signed the proposal,” Agus said after a Cabinet Meeting at the Merdeka Palace in Jakarta on Monday, October 20, 2025.
Once designated as a PSN, the national car project will receive priority development status, benefiting from inter-ministerial support, simplified licensing, and fiscal incentives from the government.
“If it becomes a PSN, the implementation will proceed much faster,” Agus cited.
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