The Coordinating Ministry for Economic Affairs has stated that the automotive industry plays a vital role in Indonesia's Gross Domestic Product (GDP), contributing 1.28 percent as of the third quarter of 2025. This sector ranks as the fourth-largest manufacturing industry, following food and beverage, chemical-pharmaceutical, and electronics in the country. Beyond being a symbol of technological advancement, the motor vehicle industry is a primary attraction for both foreign and domestic investment, strengthening national economic fundamentals. The government is committed to ensuring the sustainability of this industry due to its extensive impact on the nation's financial stability throughout 2026.

For association members and business players, the automotive sector provides substantial economic benefits by absorbing millions of workers across its entire value chain. Total investment in this sector is estimated to have reached IDR 174 trillion, covering two-wheeled to four-wheeled vehicle industries and their supporting ecosystems. The vast industrial network, ranging from component suppliers to official workshops, creates a positive domino effect for the growth of micro and medium enterprises in various regions. With strong synergy between technological innovation and policy support, the automotive industry is projected to remain a key engine for Indonesia's economic modernization in the future.

Source:
https://oto.detik.com/berita/d-8340639/segini-besar-sumbangan-industri-otomotif-buat-indonesia