Indonesia unveils new incentives to boost investment in electric vehicle manufacturing sector

• BKPM and MOF in Indonesia have unveiled new incentives for BEV manufacturers
• Incentives include 0% import duty tariff, release from luxury goods tax, and 1% VAT
• Previous incentives include tax exemptions, reduction of local tax, and financial support for infrastructure
• BKPM Regulation 6/2023 provides incentives for BEV manufacturing companies
• Incentives can be used until December 2025 for companies investing in EV manufacturing facilities
• MOF has issued regulations to implement the incentives, including VAT incentives and tax exemptions
• MOF Regulation No. 10 of 2024 adds BEV for road transportation to 0% customs duty rate.

Source: insightplus.bakermckenzie.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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