BYD Plans to Build an Electric Car Factory in Subang Indonesia

April 30, 2024, 07.15 PM | Reporter: Dimas Andi

AUTOMOTIVE - JAKARTA. PT BYD Motor Indonesia continues to demonstrate its commitment to investing in Indonesia's electric vehicle sector. The company plans to utilize land in the Subang Smartpolitan industrial area for the construction of an electric car factory in Indonesia.

This commitment was solidified with the signing of an agreement between BYD and PT Suryacipta Swadaya, the developer of Subang Smartpolitan, at the Periklindo Electric Vehicles Show (PEVS) 2024, on Tuesday (30/4).

Eagle Zhao, President Director of BYD Motor Indonesia, stated that several factors led to the decision to choose Subang Smartpolitan as the location for the BYD factory. The industrial area met all the necessary criteria in terms of size, distance, environment, and availability of required infrastructure.

For your information, the Subang Smartpolitan industrial area is already integrated with various national strategic infrastructures. The location is easily accessible via the Cikopo-Palimanan (Cipali) Toll Road at KM 89, which is also currently under development.

Moreover, the area is close to the Patimban Access Toll Road, which directly connects to Patimban Port, Kertajati International Airport, and the Trans Java Toll Road which leads to Jakarta, Bandung, and other cities in West and Central Java.

BYD is confident that the production facilities built in Subang will have a positive impact on the growth of the national automotive industry while also assisting the government in transitioning towards clean energy.

"We are not only absorbing thousands of workers but also transferring technology and industry expertise," he said at a press conference on Tuesday (30/4).

The BYD electric car factory will be built in the Phase 2 area of Subang Smartpolitan, specifically in the northern part of the area. BYD will use more than 108 hectares of land to build the electric car production facilities there.

Following the signing of the agreement between the two parties, the next step is the handover of the land, which will take place in August 2024. After that, BYD will gradually construct the factory, which is targeted to start operations in January 2026.

Eventually, the BYD electric car factory will be able to produce up to 150,000 units per year.

"Our total investment in Indonesia reaches US$ 1 billion and we are committed to partnering with local partners," he added.