VKTR Technology (VKTR), Investment of IDR 300 Bil to Builds Factory

February 28, 2024, 11.35 PM  | Reporter: Rashif Usman
VKTR Technology (VKTR), Investment of IDR 300 Bil to Builds Factory

ILUSTRASI. An electric bus drives in the GBK Complex area, Senayan, Sunday (3/9/2023). The DKI Jakarta Provincial Government is providing 24 electric buses for four routes as a means of transportation to support the 2023 ASEAN Summit from August 30 to September 7. BETWEEN PHOTOS/Media Center 2023 ASEAN Summit/Rommy Pujianto/foc.

CORPORATE STRATEGIC - JAKARTA. PT VKTR Mobility Technology Tbk (VKTR) has officially announced the construction of the first Completely Knock Down (CKD) based commercial electric vehicle facility in Indonesia. 

The construction of the facility is carried out through its subsidiary, PT VKTR Sakti Industries (VKTS), which is a joint venture with Karoseri Tri Sakti. The factory is located in Magelang, Central Java and the groundbreaking ceremony has been held on Tuesday (27/2).

The management stated that the investment value of the VKTS facility construction cost IDR 300 billion. The details are, VKTR disbursed IDR 200 billion for construction and technology development. Meanwhile, Karoseri Tri Sakti invested in the form of land and buildings worth IDR 100 billion.

The VKTS facility is targeted to have a production capacity of up to 3,000 combined bus and truck units per year, when the facility has reached full operational stage.

Anindya N. Bakrie, President Director of Bakrie & Brothers as the parent of VKTR said that the construction of the VKTS facility is one of the realizations of Bakrie Group's seriousness in the long journey of the business group towards the total decarbonization plan in 2042 or coinciding with the 100th anniversary of Bakrie Group.

"We are optimistic about the future of the sustainability and electrification industry in Indonesia which continues to grow, and continue to be consistent in realizing both the internal targets of the business group, as well as supporting the Indonesian government's target towards Net Zero Emissions in 2060," said Anindya in a press release received by Kontan.

The President Director of VKTR, Gilarsi W. Setijono said that the construction of the VKTS facility was carried out with partners in the construction field, Bakrie Construction and Automotive Engineering Corp (Sinomach Group) which have a number of flagship portfolios for global EV (Electric Vehicle) brand facilities with international standards. 

"This VKTS facility will also become a Central-Hub for the process of technology transfer & research and development related to EV involving local academic institutions, and in the future we hope this facility will be a good start for an independent EV industry in Indonesia," said Gilarsi.

The company hopes that with the construction of this VKTS facility, it will create at least 100 green jobs by the end of 2024. In addition, this expansion is also to support the government in realizing the minimum achievement target of TKDN that has been set.

Gilarsi added, the VKTS facility will become a central-hub for the process of EV technology transfer in Indonesia and become the official local facility for assembling the world's largest EV brand, namely Build Your Dream (BYD).

Market Target

The CEO of VKTR Sakti Industries (VKTS), Eric Hermanu stated, the electric vehicle products from this factory will be focused on the domestic market. He targets the construction of the VKTS facility to be completed in the third quarter of 2024.

"The target is to finish in September 2024. The product will focus on the Indonesian market and needs in line with the government's electrification target," Eric told Kontan, Wednesday (28/2).

The construction of this facility is also claimed as VKTR's seriousness to support the government in realizing Presidential Regulation No. 55/2019 juncto Presidential Regulation No. 79/2023 about the Acceleration of Battery Electric Vehicle Program for Road Transportation.

Editor: Syamsul Azhar

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