The 2025 Indonesia International Motor Show (IIMS) opened on Feb 13 with Chinese carmakers showing their new models amid calls for breakthrough initiatives to address the country's sluggish car market.

Chinese brands like BYD, Chery, Wuling, Geely, AION and Honri are among the 56 brands that are featured in the exhibition, organized by the Association of Indonesian Automotive Manufacturers (Gaikindo). The 11-day event is held at the Jakarta International Expo in Indonesia's capital city.

Indonesian Minister of Industry Agus Gumiwang Kartasasmita said in his opening remarks that "breakthrough" initiatives are needed to boost growth in the sluggish domestic car market. He said the government has relaxed tax rules on EV imports to attract investment while decreeing local content levels for investors to make cars in the country.

Kartasasmita said Indonesian wholesale vehicle sales in 2024 dropped by nearly 14 percent to 866,000 units. The car ownership ratio in the world's fourth most populous country has remained low, which is only 99 units per 1,000 people. This was surpassed by other Southeast Asian countries like Malaysia which has a car ratio of 490 units per 1,000 people while Thailand is at 275 units.

"There is still much room to grow," Kartasasmita said.

While Japanese vehicles remain dominant in the Indonesian market, Chinese electric cars are gaining popularity in Indonesia.

Shuo Zeng, vice-president of Chery Sales Indonesia, said that while their product sales in Indonesia are lower than in Thailand and Malaysia, he believes that Indonesian car sales will grow in the succeeding years.

"In the long term, I think Indonesia will grow fast as well," Shuo said.

Chery with its conventional, hybrid and EV cars, started operation in Indonesia in 2023 and Shuo expects their sales in the country will double this year, from last year. Chery and a local investor run a manufacturing plant in Bekasi, near Jakarta.

Eagle Zhou, president director of BYD Motor Indonesia, said the company is proud that their EV brand has gained ground in the Indonesian market.

BYD entered the Indonesian market last year by launching BYD Sealion 7 at the IIMS. Zhou said IIMS "is a large platform for us to tell the audience, the public (about) the strength of the BYD technology".

He said BYD is building a manufacturing plant in Subang, West Java. The project is planned to be finished this year and will start producing cars next year.

The writer is a freelance journalist for China Daily. Prime Sarmiento in Hong Kong contributed to this story.