MG Motor Indonesia confirmed that the MG ZS EV and MG 4 EV electric cars will be produced locally in Indonesia starting in early 2024.
This was stated directly by the Marketing & PR Direction of MG Motor Indonesia, Arief Syarifuddin, when he met at the MG Charge Up the Future SCBD exhibition, Jakarta, Wednesday (15/11/2023).
According to Arief, the first car produced through the Completely Knock Down (CKD) process was the MG ZS EV in February 2024, after which production began for the MG 4 EV.
"This marks a new chapter in our history. This also allows MG to contribute more, both to MG consumer satisfaction in Indonesia, and to the automotive sector as a whole," said Arief.
Arif said, the production of the MG ZS EV and MG 4 EV in Indonesia is part of a global strategy to face the increasing demand for electric vehicles.
He further stated that the high demand for electric vehicles can show the active role of MG Motors Indonesia in supporting the global electrification ecosystem and Indonesian government programs.
Arif also said that with the production of two MG electric cars in Indonesia, this would not only increase economic potential or open job opportunities, but also strengthen Indonesia's position as a leader in electrification in Southeast Asia.
"We are excited to announce that our investment plans in Indonesia for the development of local manufacturing are progressing well. This initiative not only makes electric vehicle solutions more affordable, but also supports an environmentally friendly vision with extraordinary technology, performance and design," he said.
Utilizing the Wuling Motors Factory
As is known, the MG electric car production process utilizes factory facilities owned by the SAIC Group, located in Karawang, West Java, with a composition of 60 percent electric technology, while 40 percent petrol.
According to Arif, to realize this big plan, MG has made quite a large investment, reaching USD 600 million or almost IDR 10 trillion.
"So that makes us hope that our production target, namely 100,000 units per year, can be met," he said.
He also said that MG is committed to the government-regulated automotive industry, where the target is to reach 40 percent of electric cars assembled locally.
Meanwhile, if you use SAIC's factory facilities, it is not impossible that the process will be carried out close to each other and could even be in the same location as Wuling Motors.
So what about the price?
Arif said that because CKD is applied locally with global quality standards, there will be several things that will be adjusted, but they need to be reviewed again.
"Certainly if it is produced in Indonesia, which we have to split, then it should be (cheaper) yes," he said.
However, Arif does not deny that because it has been localized, it is not impossible that the price of the MG electric car will drop to between IDR 500 million and IDR 550 million.
