BYD Motor Indonesia Plans Battery Assembly in Indonesia

BYD Plans Battery-Related Assembly Operations in Indonesia

Reported on September 3, 2026, BYD Motor Indonesia is preparing to add battery-related assembly operations to its activities in Indonesia. The plan was disclosed by the company’s President Director, Mr. Zhao, during the inauguration of BYD’s Subang factory. The additional assembly work is intended to support the company’s efforts to increase the domestic component level, known as TKDN, for vehicles produced in Indonesia. The move would expand BYD’s local manufacturing activities beyond its existing operations and support the company’s preparations to meet Indonesia’s upcoming localization requirement.

Battery Assembly to Support 60% TKDN Target

Mr. Zhao said the planned battery-related assembly activities would contribute to efforts to raise the TKDN level of vehicles manufactured in Indonesia. Based on the company’s current preparations, Zhao is confident that BYD Motor Indonesia can meet the 60% TKDN requirement that will apply from January 2027. The planned localization of battery-related assembly therefore forms part of the company’s broader preparations for the requirement. The development also indicates that increasing the share of locally incorporated components is becoming an important part of BYD’s manufacturing strategy in the Indonesian market.

Workforce Training and Technology Transfer Continue

Alongside its manufacturing preparations, BYD is developing the capabilities of its Indonesian workforce through training and technology-transfer initiatives. Hundreds of Indonesian technicians and engineers received training at BYD’s research and development center in China during 2025. The training is part of the company’s effort to build technical skills among its local workforce as its Indonesian operations develop. According to Zhao, BYD Motor Indonesia intends to continue these programs, extending workforce development alongside the company’s manufacturing and assembly activities in the country.

Subang Factory Supports Local Manufacturing Development

The battery-related assembly plan was disclosed on the sidelines of the inauguration of BYD’s Subang factory, linking the new activity to the company’s expanding manufacturing presence in Indonesia. The factory provides the setting for BYD to develop production capabilities while working toward a higher domestic component level. The company’s preparations combine manufacturing activity with workforce development and technology transfer. Together, these efforts are intended to strengthen the local capabilities supporting vehicles produced in Indonesia and help the company prepare for the 60% TKDN requirement scheduled to take effect from January 2027.

Industry Impact & Outlook

BYD’s planned battery-related assembly could deepen vehicle localization in Indonesia by increasing the share of production activities conducted domestically, while also placing greater importance on local technical capabilities. For BYD, meeting the 60% TKDN requirement from January 2027 would require its current preparations to translate into sufficient domestic content, making battery-related assembly and workforce development relevant to that objective. The continued training of Indonesian technicians and engineers could support the operational skills needed as localization expands. The immediate significance is therefore centered on manufacturing readiness, compliance with the upcoming requirement, and the development of Indonesia-based production capabilities.

Frequently Asked Questions

What is BYD Motor Indonesia planning for battery assembly?
BYD Motor Indonesia is preparing to add battery-related assembly operations in Indonesia as part of its efforts to increase domestic vehicle component content. The company expects the additional activity to support its preparations for the 60% TKDN requirement scheduled to begin in January 2027. President Director Mr. Zhao disclosed the plan during the inauguration of BYD’s Subang factory. BYD is also continuing workforce training and technology-transfer programs, including training provided to hundreds of Indonesian technicians and engineers at its R&D center in China during 2025.