BYD Targets 60% Local Components by January 2027 - Tempo.co English

TEMPO.CO, Jakarta - The Chinese manufacturing giant BYD is targeting a domestic component level (TKDN) of 60 percent for each product line by January 2027. Eagle Zhao, President Director of PT BYD Motor Indonesia, said increasing local components begins with investments beyond assembly.

"We are also introducing full manufacturing, completely knocked down, with a complete manufacturing process including stamping, welding, and painting," he said after the inauguration of the BYD factory in Subang Regency on Thursday, September 3, 2026.

Zhao stated that without a complete and comprehensive manufacturing process, it is nearly impossible to say that BYD products are made in Indonesia. The Chinese company also aims to maintain its presence in the electric vehicle industrialization in Indonesia.

BYD currently meets the TKDN requirement of more than 40 percent, supported by partnerships with domestic component manufacturers, including in battery production and recycling.

"The calculation of local content does not solely rely on local components. It is a highly comprehensive calculation and operation," he said.

Zhao stated that BYD will further expand its investment in Indonesia. Several electric car models will be introduced going forward.

To date, several models record the highest sales for BYD: the Atto 1, M6, M6 DM, and Denza D9 models. After initially relying on imports for sales of up to 92,000 units, BYD will now rely predominantly on production from its Subang factory.