Astra International's Strategy to Compete with Chinese Electric Vehicles

3 hours ago 2

April 23, 2026 | 09:19 pm

TEMPO.CO, Jakarta - PT Astra International Tbk Director, Gidion Hasan, stated that the company has two strategies for dealing with the surge in electric vehicle sales from China in Indonesia. The plan considers the diverse needs of Indonesian society, including the use of electric, Internal Combustion Engine (ICE), and hybrid vehicles.

"With this strategy, we hope to maintain our market share at around 50 percent," he said during the company's annual general meeting press conference at Menara Astra, Jakarta, on Thursday, April 23, 2026.

Gidion said that conventional Internal Combustion Engine (ICE) is still very much needed by 85 percent of Indonesian society. This dominance also considers infrastructure and utility factors. To continue to meet these needs, Astra, through various licensed brands, will continue to launch new products.

Astra also relies on its own automotive industry ecosystem, which includes financing, dealers, and after-sales services. "Even up to a used car for trade-in purposes," said Gidion.

The company holds assembly and distribution sales licenses from various brands, including Toyota, Daihatsu, Isuzu, BMW, Lexus, UD Trucks, and Honda motorcycles through PT Astra Honda Motor. Subsidiaries supporting sales in the automotive sector include Astra Otoparts, Astra World, Sera, Moda, and OlXmobbi.

Astra President Director, Rudy, acknowledged that major cities such as Jakarta and its surrounding areas, Surabaya, and Bandung, have a faster electric vehicle adoption rate. The number of electric vehicle consumers, especially cars, is high due to adequate supporting infrastructure.

However, semi-urban areas and large cities have different considerations, such as functionality and affordability. "We have a multi-pathway, there are PHEV (Plug-in Hybrid Electric Vehicle), we have HEV (Hybrid Electric Vehicle), we also have ICE, because the needs of each segment are different," said Rudy on the same occasion.

Astra is known to have a 50 percent market share in vehicle sales in Indonesia. Some of the competing brands under Astra's umbrella include electric cars such as Build Your Dreams (BYD), Geely, Xpeng, Wuling, Chery, BAIC, MG, Jetour, DFSK, VinFast, and Hyundai.

Read: How Electric Vehicle Taxes Could Slow Indonesia's Electrification

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