Magelang, Central Java - President of the Republic of Indonesia Prabowo Subianto inaugurated Indonesia’s first electric commercial vehicle assembly plant owned by PT VKTR Sakti Industries (VKTS), a subsidiary of PT VKTR Teknologi Mobilitas Tbk, located in Magelang, Central Java, on Thursday (April 9, 2026).

The inauguration marks a strategic milestone in the development of Indonesia’s electric vehicle industry, particularly in the commercial vehicle segment such as buses and trucks, which are considered key drivers in advancing a clean energy-based automotive ecosystem.

In his remarks, President Prabowo expressed appreciation for the role of the national private sector, which he said has consistently contributed to domestic industrial development. The Head of State specifically highlighted the contribution of VKTR President Commissioner Anindya Novyan Bakrie and his business group.

“I strongly welcome and appreciate this initiative, which has been undertaken over the past several years by Mr. Anindya Bakrie, his family, and his business group,” President Prabowo said.

He also expressed hope that VKTR could grow into one of Indonesia’s “national champions” in the automotive sector, comparable to global companies.

“If Japan has Isuzu and Hino, and Korea has Hyundai and Daewoo, I hope that in the coming years we will see VKTR as one of Indonesia’s champions,” he added.

Meanwhile, President Commissioner of PT VKTR Teknologi Mobilitas Tbk., Anindya Novyan Bakrie—commonly known as Anin—explained that since its inception, VKTR, also referred to as Vektor, has been built on two main pillars: decarbonization and economic independence.

Anin emphasized that achieving Indonesia’s net zero emissions target by 2060 and strengthening energy resilience by reducing fuel imports are strategic imperatives.

“Mr. President (Prabowo) has always taught us that in the history of development, crises often become opportunities for major leaps forward,” Anin said.

He further noted that industrial development often finds momentum during times of crisis. VKTR, he said, continues the long journey of Indonesia’s automotive industry, which began during the era of Achmad Bakrie through Bakrie Autoparts in 1975, and was later continued by Aburizal Bakrie through Bakrie Motor in 1997, before being halted by the economic crisis.

“Now, Vektor continues that journey—from components to complete vehicles, and from gasoline to electric,” he said.

Anin explained that VKTR has chosen to focus on electric buses and trucks, as these are seen as key catalysts for the growth of Indonesia’s electric vehicle ecosystem. He added that electrifying commercial vehicles could potentially reduce fuel subsidies by up to US$5 billion annually.

“We would like to report that we have chosen electric buses and trucks because they can serve as a cornerstone for the growth of the electric ecosystem. They may not appear as attractive as motorcycles, which number 140 million, or passenger cars, but they can drive a much larger ecosystem,” he said.

From an industrial perspective, Anin added that VKTR is committed to increasing its domestic component level (TKDN), which currently stands at 40 percent and is targeted to reach 60 percent this year and 80 percent by 2028.

“We believe that through self-reliance, we can increase the domestic component level,” he stressed.

He also pointed out that experiences from countries such as Japan show that automotive industries often begin with commercial vehicles before expanding into passenger vehicles.

“In Japan, for example, development started with buses and trucks before moving into passenger cars,” he said.

In addition, Anin noted that VKTR supports the broader development of a green mobility ecosystem, including the provision of charging infrastructure and contributions to waste-to-energy programs through the development of closed compactor dump trucks planned for use in Nusantara and Jakarta.

“We believe that going forward, all stakeholders can work together to support the government’s program to achieve 100 gigawatts,” he said.

In terms of technology, VKTR aims to position itself as an innovation-driven company, with ownership of 14 patents developed in collaboration with several Indonesian universities, including retrofit technology to convert gasoline-powered vehicles into electric vehicles.

“We hope to gain support so that government regulations can further encourage the enforcement of domestic component levels and provide opportunities for collaboration with both private companies and state-owned enterprises,” Anin concluded.

The VKTS facility, located within the Magelang industrial area, is Indonesia’s first electric bus and truck assembly plant equipped with comprehensive, internationally standardized testing facilities, including road tests, climb tests, rain tests, and flood tests. The plant represents a tangible realization of a Rp5 trillion investment by the Bakrie Group through PT VKTR Teknologi Mobilitas Tbk. in Indonesia’s green industry.

In its business development, VKTR has partnered with several national coachbuilders, including Tri Sakti, Laksana, Adiputro, Tentrem, and Mekar Armada Jaya, as well as strategic clients such as PT Transjakarta, which aims to electrify 10,000 buses, and PT Blue Bird Tbk. The Nusantara Capital Authority has also entrusted VKTR with the electrification of 14 compactor and arm-roll trucks for waste management. Pilot projects are also underway with PT Semen Indonesia Logistik and Perhutani.

In the field of innovation, VKTR’s collaboration with the Politeknik Elektronika Negeri Surabaya (PENS) has resulted in 14 joint patents covering various aspects of electric mobility, ranging from motorcycle retrofit solutions to smart fleet management systems. Collaboration with Universitas Sebelas Maret (UNS) has produced two joint patents on nickel-based battery material formulations, supporting Indonesia’s nickel downstreaming efforts.

Also present at the inauguration were Minister of Energy and Mineral Resources Bahlil Lahadalia, Minister of State Secretary Prasetyo Hadi, as well as regional leaders.