Indonesia Delays 105000 Vehicle Import Plan From India

Indonesia has temporarily postponed its plan to import 105,000 vehicles from India under the state-backed Merah Putih Village Cooperative programme, Bloomberg reported. Citing senior officials, the report highlights concerns that large-scale imports could negatively impact the domestic automotive industry.

The Ministry of Finance, led by Purbaya Yudhi Sadewa, agreed with a proposal from Deputy Speaker of Parliament Sufmi Dasco Ahmad to delay the plan. President Prabowo Subianto, currently on an overseas working visit, has reportedly emphasised prioritising domestic industrial development before proceeding with imports.

Details Of The Import Plan

The imports were to be carried out by state-owned PT Agrinas Pangan Nusantara. Earlier, Mahindra & Mahindra Ltd had disclosed plans to supply 35,000 Scorpio 4×4 pickups to Indonesia. In total, the programme involved 105,000 vehicles: 35,000 Scorpio pickups from Mahindra, an additional 35,000 4×4 pickups, and 35,000 six-wheel trucks from Tata Motors.

Joao Angelo De Sousa Mota, President Director of Agrinas Pangan Nusantara, confirmed the company’s readiness to comply with Parliament’s request to defer imports. Vehicles already shipped will remain idle until official government directions are issued regarding their deployment.

Implications For India-Indonesia Trade

The postponement reflects Indonesia’s cautious approach toward balancing rural development initiatives with protection of the domestic automotive industry. While Indian manufacturers were set to benefit from the programme, the final outcome now hinges on policy reassessment. The decision underscores the influence of national industrial priorities on cross-border vehicle trade and future bilateral agreements.