The discourse on building a national car has resurfaced after President Prabowo targeted that within three years of his tenure, Indonesia will have a self-made car. After previously having national car aspirations with the Timor, Bimantara, and Esemka brands, President Prabowo now wants to bring a variant of the Maung car from PT Pindad (Persero) as a national car.
The rebuilding of the domestic car project was conveyed by Prabowo during a plenary cabinet meeting attended by all ranks of the Red and White Cabinet on (20/10/2025).
Prabowo is also proud to use Maung cars produced by PT Pindad (Persero) to support all his state activities. The national car project had emerged decades ago, when Timor and Bimantara were born, but the project ran aground 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 is increasingly visible.
"Support President Prabowo's plan to realize Mobnas and strive for everything '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 manufacturing? Does the principal or brand holder company have to be from Indonesia?
This is because so far there have also been branded cars from outside Indonesia but have been produced for decades in domestic factories. The TKDN of the car is also dominant at almost 100%.
According to Made, to realize the national car project, the automotive ecosystem must be built starting from the primary industry, secondary industry and tertiary industry.
The primary industry is an industry that produces raw material components such as steel and plastics, after ensuring that the primary industry is ready, then proceed to the secondary industry.
The secondary industry includes upstream and downstream, nothing should be missed, the manufacture of vehicles and components must be complete.
Then the tertiary industry must be integrated 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 Entered PSN
The Ministry of Industry (Kemenperin) 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 Agus Gumiwang Kartasasmita said he had submitted the proposal to Minister of National Development Planning/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.
"I have proposed PSN, because now the ministry that has the authority to determine PSN, SEZ has now been moved to Bappenas, no longer at the Coordinating Ministry for the Economy," Agus said as quoted by Antara (27/10).
Regarding the readiness of the national automotive industry, Agus claimed to be ready to run the National Car project. He claimed to have communicated directly with the companies 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 have also talked to the company. The brand already exists, and I have also met the company, but maybe I can't open it now or can't show it now to the public, but everything is ready actually," explained the Minister of Industry.
It takes a few steps
Chairman of the Nusantara Komodo Automotive Industry Association Ibnu Susilo said 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 local brand FIN, added that fiscal and financing incentives are needed for vendors. The government also needs to show favoritism in conducting government procurement to help the domestic market.
The next step is to strengthen the core component industry, building core component industries 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 freely collaborating with local education, research and industry elements for core technology development.
"Involving domestic entrepreneurs and established universities in the automotive field 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 transferring expertise and developing skills to operate and repair advanced production machinery and ensuring competent leadership and good coordination among relevant ministries.
Driving Many Industries
General Secretary of the Indonesian Automotive Industry Association (Gaikindo) Kukuh Kumara said the presence of a national electric car will 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.
For now, Gaikindo admits that it does not know what the national car project will look like. However, Gaikindo is ready to provide full support so that the national car project this time does not fail as before.
"We don't know the details (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).
