Indonesia postpones electric motorcycle incentives as conventional bike sales climb

Demand for two‑wheel transport in Indonesia stays robust despite higher interest rates and a weaker rupiah. Honda’s retail sales rose about 10‑11 % in the January‑May period, outpacing the national motorcycle market growth of roughly 1.3‑1.5 %.

The Indonesian government has delayed its planned electric‑motorcycle subsidy programme. Coordinator for the Economy Airlangga Hartarto said the incentive scheme, originally set to start in June 2026 for up to 100 000 electric motorcycles (part of a 200 000‑unit electric vehicle quota), will now be reviewed and expected to roll out in August 2026. The postponement reflects ongoing evaluation of the programme’s mechanisms and funding.