Why Indonesia has huge potential for Bus, Coach and Truck Markets?
Progress of the Transformation of the Public Transportation System in Indonesia
Indonesia Commercial Vehicle market is expected to grow at a steady CAGR during the forecast period, 2022-2026. The growth of the automotive industry and high-end investments in the infrastructural development and construction activities, and the ongoing research and development activities for technological advancements are the major factors influencing the Indonesia Commercial Vehicle market.
The Buses segment in in Indonesia is projected to grow by 13.76% (2022-2026) resulting in a market volume of US$ 361.40m in 2026. Meanwhile, the Pickup truck market segment in Indonesia is projected to grow by -0.62% (2022-2026) resulting in a market volume of US$919.00 million in 2026. Supported by the connectivity infrastructure program which is one of the priority activities for national development in 2023, which will improve service delivery, development of transportation infrastructure, goods terminals and construction of new ports.
Opportunities for the Electric Bus Market in Indonesia
The future of the electric bus market in Indonesia looks promising with opportunities in the public and private transportation. Indonesia Electric Bus Market is expected to grow during the forecast period 2019-2025. The major drivers for this market are increasing gasoline prices, government subsidies as tax benefits to promote electric buses, and stringent environmental regulations to reduce air pollution. The government said that Indonesia was ready to produce electric buses with a capacity of 1,200 units per year.