VinFast Bets on Affordable EVs in Indonesia as Incentives Fade

JAKARTA, Investortrust.id — VinFast launches its seven seat electric VF MPV 7 on Monday, Feb 9, 2026 in Jakarta as it pushes an affordability first strategy to capture Indonesia’s family car market despite the end of key government tax incentives. The move signals the company’s intent to compete aggressively in the crowded MPV segment while maintaining price accessibility.

Deputy CEO for Sales and Network Development VinFast Indonesia Davy J Tuilan said the VF MPV 7 was designed specifically for Indonesian consumers seeking a functional and affordable electric family vehicle. He said the company saw strong potential in the MPV segment, which remains the backbone of domestic passenger car demand.

The VF MPV 7 is derived from the Limo Green model developed for Indonesia and is priced significantly lower than in its home market. In Vietnam, the Limo Green sells for 819 million dong, equal to about Rp 527 million, while in Indonesia the VF MPV 7 is offered at Rp 345 million.

During the Indonesia International Motor Show 2026, VinFast offers a promotional price of Rp 329 million for units using the battery subscription scheme. For customers opting to own the battery outright, the on the road Jakarta price is set at Rp 420 million.

Under the subscription model, battery fees are set at Rp 880,000 per month for usage up to 2,000 kilometers and Rp 1.35 million per month for mileage above that threshold. VinFast also provides a Rp 16 million cash incentive for the first 2,000 buyers, along with free charging benefits and accessory packages.

In terms of specifications, the VF MPV 7 is powered by a 150 kilowatt electric motor producing 280 newton meters of torque and paired with a 60.2 kilowatt hour battery. The vehicle offers a driving range of up to 450 kilometers on the NEDC cycle, with fast charging from 10 percent to 70 percent taking around 30 minutes.

While expanding its mass market lineup, VinFast has ruled out bringing its premium armored sedan Lac Hong 900 LX to Indonesia in the near term. CEO VinFast Indonesia Kariyanto Hardjosoemarto said the model remained focused on government and state guest use in Vietnam and was not part of the company’s Indonesian product plan this year.

The Lac Hong 900 LX is VinFast’s most prestigious model and is certified to VPAM VR7 ballistic protection standards, but Kariyanto said the Indonesian market focus remained firmly on mainstream electric vehicles. He declined to elaborate further on any future premium offerings.

VinFast’s pricing strategy comes amid the end of the value added tax borne by the government incentive for electric vehicles this year. Kariyanto said the removal of the incentive did not directly affect production costs, as it related to tax policy rather than manufacturing expenses.

He said VinFast adjusted prices only for models sold with battery ownership, while vehicles under the battery subscription scheme remained unchanged to protect affordability. Other incentives, including luxury tax relief and zero percent vehicle transfer fees, remain in place until 2031, helping cushion the impact.

Looking ahead, VinFast is preparing a transition to local production at its planned Subang facility in West Java. Kariyanto said imported units would be phased out once existing inventory was depleted, as importing vehicles without incentives would make pricing less competitive.