As a first step in this good year, PT VKTR Teknologi Mobilitas Tbk (VKTR) as a pioneer in the commercial electric vehicle industry is realizing the company’s commitment to accelerating the adoption of electric vehicles in Indonesia, and will officially start construction of Completely Knock Down (CKD) based commercial electric vehicle facilities. first in Indonesia through its subsidiary which is a joint venture with Karoseri Tri Sakti, namely PT VKTR Sakti Industries (VKTS), in Magelang, Central Java on February 27 2024.

The construction of this facility is also a manifestation of VKTR’s seriousness in supporting the government in realizing Presidential Regulation no. 55/2019 in conjunction with Presidential Regulation no. 79/2023 concerning Acceleration of the Battery Electric Vehicle Program for Road Transportation.

The “Groundbreaking of the First Commercial Electric Vehicle Facility in Indonesia” event was held at the VKTS facility, with support from national and local governments such as, Minister of Transportation of the Republic of Indonesia, Budi Karya; Director General of Metal, Machinery, Transportation Equipment and Electronics Industry (ILMATE), Taufik Bawazier (Representing the Minister of Industry of the Republic of Indonesia); Acting Governor of Central Java, Nana Sudjana; Acting Regent of Magelang Sepyo Achanto;  and other regional authorities.

“The construction of the VKTS facility is one realization of the seriousness of the Bakrie Group in our business group’s long journey towards the total decarbonization plan in 2042 (100 years of the Bakrie Group). “We are optimistic about the future of Indonesia’s sustainability and electrification industry which continues to develop, and continues to be consistent in realizing both the business group’s internal targets, as well as supporting the Indonesian government’s target towards Net Zero Emissions by 2060,” Anindya N. Bakrie, President Director of Bakrie & Brothers.

“We are proud to be able to contribute to the country and the EV industry in Indonesia in accelerating the KBLBB program in Indonesia. The construction of the VKTS facility was carried out in partnership with two experts in the construction sector, Bakrie Construction and Automotive Engineering Corp (Sinomach Group); which already has a number of superior portfolios for global EV brand facilities with international standards. “God willing, this VKTS facility will also become a Central-Hub for the technology transfer & R&D process related to EVs by involving local academic institutions, and in the future we hope that this facility will be a good start for the independent EV industry in Indonesia,” Gilarsi W. Setijono , Main Director of VKTR.

“We congratulate VKTR on the construction of the first Commercial Electric Vehicle Facility in Indonesia. The construction of this facility will produce vehicles that are environmentally friendly and in accordance with the Roadmap for the Transformation of Battery-Based Electric Motor Vehicles (KBLBB) as Government Operational Vehicles and Public Transportation which is the Ministry’s target. Transportation”, Budi Karya, Minister of Transportation of the Republic of Indonesia.

“We congratulate VKTR Sakti on building the first Commercial Electric Vehicle Facility in Indonesia. “It is hoped that the construction of vehicle production facilities carried out on a CKD basis will be in accordance with the National Battery-Based KBL Industry Roadmap and the Minimum TKDN Achievement Target for CKD-based buses & trucks,” Taufiek Bawazier, Director General of the Metal, Machinery, Transportation Equipment and Electronics Industry, Ministry of Industry. , representing the Minister of Industry of the Republic of Indonesia.

With the construction of the VKTS facility, the company hopes to make a contribution to the EV industry in Indonesia, namely:

1. Green Jobs: Creating at least 100 green jobs (green jobs creation) by the end of 2024.
2. Support the government in realizing the Minimum Target for TKDN Achievement: by implementing the CKD basis, VKTS facilities will meet the minimum TKDN of 40% set by the government.
3. Central hub for the technology transfer and research & development (R&D) process: The VKTS facility will become the central hub for the EV technology transfer process in Indonesia and become the official local facility for assembling the world’s largest EV brand, Build Your Dream (BYD).
4. VKTS synergizes by collaborating with local company Bakrie Construction, and utilizing technology, knowledge and experience from the best engineering company partners in the world; Automotive Engineering Corp (AE Corp) which is one of the companies within the Sinomach Group; a company that is included in the world’s Global Fortune 500, and has more than 60 years of experience in developing world-renowned global facilities.
5. Collaborating with local academic institutions: In the technology transfer and R&D process, VKTS also ensures that local academic institutions such as PENS, UNS, ITB are involved. VKTS is committed to continuing to embrace local institutions in the process of knowledge transfer, R&D, so as to produce the best technology to assist the Indonesian Government in preparing Indonesia to enter the 100% electrification phase.

In building the VKTS facility, approximately IDR 300,000,000,000 was invested by a combination of VKTR and Karoseri Tri Sakti. The amount invested by VKTR for this facility is IDR 200,000,000,000 for construction and technology development, while Karoseri Tri Sakti provides investment in the form of land and existing buildings with a valuation of approximately IDR 100,000,000,000. The VKTS facility is targeted to have a production capacity of up to 3,000 units of combined buses and trucks every year, when the facility reaches a steady state. Ultimately, VKTR hopes that by building the first CKD-based commercial electric vehicle facility in Indonesia, the company can become a pioneer of an independent EV industry in Indonesia and support the government in achieving the Net Zero Emissions target by 2060.