Toyota to invest $2 billion in developing EVs in Indonesia

1 min readUpdated Jun 4, 2025Nov 11, 201910:59 PM

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Toyota Motor plans to invest $2 billion to develop electric vehicles in Indonesia over the next four years, starting with hybrid vehicles, Indonesia’s coordinating ministry for maritime affairs said.

“From 2019 to 2023, we will progressively increase our investment to 28.3 trillion rupiah ($2 billion),” Toyota president Akio Toyoda was quoted as saying in a statement released by the ministry on Thursday.

Toyota said this month that it aimed for half its global sales to be from electric vehicles by 2025, five years ahead of schedule, and will tap Chinese battery makers to meet the accelerated global shift to electric cars.

The deal was agreed at a meeting in Osaka on Thursday between Indonesia’s Coordinating Minister for Maritime Affairs Luhut Pandjaitan and Toyoda.

“Because the Indonesian government already has an electric vehicle development map, Toyota considers Indonesia a prime EV investment destination,” Toyoda said in the statement.

He said Toyota would follow the government’s EV plan by investing in stages, starting with the development of hybrid vehicles.

Monet, the self-driving car joint venture of Toyota and SoftBank Corp., separately told Reuters in June it plans to begin operating in Southeast Asia next year.

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Questions & Answers

How much money is Toyota planning to invest in electric vehicle development in Indonesia?

Toyota Motor plans to invest $2 billion in Indonesia. This investment is specifically for developing electric vehicles and will be rolled out over the next four years, beginning with hybrid vehicles. The total sum equates to 28.3 trillion rupiah.

What is Toyota's global target for electric vehicle sales?

Toyota aims for electric vehicles to account for half of its global sales. The company has accelerated this target, now expecting to reach it by 2025, which is five years earlier than their previous schedule. They will use Chinese battery makers to achieve this.

Why does Toyota consider Indonesia a good place to invest in electric vehicles?

Toyota views Indonesia as a key investment destination for electric vehicles because the Indonesian government already has a comprehensive development map for EVs. Toyota's president, Akio Toyoda, stated the company would follow this government plan by investing in stages.

When did Toyota agree to this investment with the Indonesian government?

The agreement was made on Thursday at a meeting in Osaka. Indonesia’s Coordinating Minister for Maritime Affairs, Luhut Pandjaitan, met with Toyota president Akio Toyoda to finalise the deal. This confirms the timing of the investment commitment.