The idea of building a national car has emerged again after President Prabowo targeted that within three years of his term, Indonesia will have its own car. After previously Indonesia had the ideals of a national car with the brands Timor, Bimantara, to the last Esemka, now President Prabowo wants to bring the Maung car variant from PT Pindad (Persero) as a national car.
The re-establishment of the domestic car project was conveyed by Prabowo during a plenary cabinet meeting attended by all members of the Red and White Cabinet on (20/10/2025).
Prabowo is also proud to use the Maung car produced by PT Pindad (Persero) to support all his state activities. The national car project emerged decades ago, when Timor and Bimantara were born, but the project failed due to the monetary crisis.
Automotive observer and President of the Indonesian Automotive Institute (IOI) I Made Dana Tangkas supports President Prabowo's plan to build a national car, because with a national car, Indonesia's identity as a developing country moving forward will become more visible.
“Support President Prabowo's plan to realize a national car and strive for everything to be 'Made in Indonesia',” he told SUAR in Jakarta (27/10/2025).
According to him, it is necessary to first formulate the definition of a national car. The definition of a national car has many versions. Does it have to be an Indonesian brand? Is it a car whose domestic content level (TKDN) or local components dominate its manufacture? Should the principal or brand holding company come from Indonesia?
Because, so far there have also been cars with brands from outside Indonesia that have been produced for decades in domestic factories. The TKDN of the car is also almost 100% dominant.
According to Made, to realize the national car project, the automotive ecosystem must be built starting from the primary, secondary and tertiary industries.
The primary industry is the industry that produces raw material components such as steel and plastic, after ensuring that the primary industry is ready, then proceed to the secondary industry.
The secondary industry includes upstream and downstream, don't miss anything, the manufacture of vehicles and their components must be complete.
Then the tertiary industry must be integrated starting from workshops, buying and selling, everything has become one unit.
He added that to realize this national car project, the use of local components (TKDN) must be deepened, for example 2000 part items.
National Car Project Enters PSN
The Ministry of Industry (Kemenperin) has proposed that the National Car project be designated as a National Strategic Project (PSN). The proposal was submitted to the Ministry of National Development Planning (PPN) or the National Development Planning Agency (Bappenas).
Minister of Industry (Menperin) Agus Gumiwang Kartasasmita said that he had submitted the proposal to Minister of PPN/Bappenas Rachmat Pambudy last week, following changes in the authority to determine PSN and Special Economic Zones (KEK) which are now under Bappenas, no longer the Coordinating Ministry for Economic Affairs (Kemenko Perekonomian).
“I have proposed the PSN, because now the ministry that has the authority to determine the PSN, KEK has now been transferred to Bappenas, no longer at the Coordinating Ministry for Economic Affairs,” said Agus as quoted by Antara (27/10)
Regarding the readiness of the national automotive industry, Agus claims to be ready to carry out the National Car project. He claims to have communicated directly with the company that will be involved in the production of the car. In fact, the national car brand already exists, and the company that will develop it has also been met directly.
However, Agus cannot reveal the details to the public at this time.
"The automotive industry is ready, I've also spoken to the company. The brand already exists, and I've also met the company, but maybe I can't reveal it now or can't show it to the public now, but everything is actually ready," explained the Minister of Industry.
Requires Several Steps
Chairman of the Nusantara Komodo Automotive Industry Association Ibnu Susilo said that there are several steps that must be taken to accelerate the realization of the national car, including regulatory support and incentives, making the national car project a National Strategic Project (PSN) to accelerate implementation.
Ibnu, who is also the Founder of the local brand FIN, added that fiscal and financing incentives are needed for vendors. The government also needs to show its support by carrying out government procurement to help the domestic market.
The next step is to strengthen the core component industry, build a core component industry such as batteries, electric motors, ECUs, and transmissions to increase the Domestic Component Level (TKDN) to 80% within five years.
Encourage not only being tied to foreign principals, but being free to collaborate with educational elements, research, and local industry for core technology development.
”Involving domestic entrepreneurs and established universities in the automotive sector for technology and expertise transfer,” he told SUAR in Jakarta (27/10/2025).
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After building the core components, the next step is Human resource development, focusing on expertise transfer and skills development to operate and repair advanced production machines and ensure competent leadership and good coordination between related ministries.
Driving Many Industries
The Secretary-General of the Association of Indonesian Automotive Industries (Gaikindo), Kukuh Kumara, said that the presence of a national electric car would drive many industries in Indonesia. This is because the vehicle will use many domestic components as one of the requirements for the presence of a national car.
Currently, Gaikindo admits that it does not yet know what the national car project will look like. However, Gaikindo is ready to provide full support so that this national car project does not fail like the previous ones.
"We don't know the details yet (of the project). But what is clear is that we support it, we support it down to the component level," Kukuh told SUAR in Jakarta (27/10).
