Hyundai has confirmed that it will be producing its first locally-assembled battery electric vehicle (BEV) in Indonesia starting March 2022.

In the initial stages, production will be capped at a low 1,000 units per year, and only for the domestic market. However, Hyundai adds that exports to neighbouring countries is part of the longer term plan.

The company did not confirm the exact model to be produced but the Ioniq 5 is a likely candidate, seeing that the model was presented at yesterday’s “The Future Electric Vehicle Ecosystem for Indonesia” expo in Indonesia, alongside the Genesis G80 Electrified. The latter will be used as the official car for the G20 Bali Summit in November 2022.

Since 2020, Hyundai has been selling two BEV models in Indonesia - the Korea-made Ioniq Electric and Kona Electric. Between January and September 2021, a total of 473 units were sold in the archipelago.

Hyundai is currently building two manufacturing plants in Indonesia. The first is RM 4.6 billion 10 GWh battery manufacturing joint venture with LG Energy Solution, in Karawang. Construction is scheduled for completion in 2022.

Also read: Indonesia starts work on SEA’s first EV battery manufacturing plant – cuts reliance on commodity exports

The second plant is a 150,000 units per year vehicle manufacturing plant, operated by subsidiary PT. Hyundai Motor Manufacturing Indonesia, in Kota Deltamas. If necessary, the plant can be scaled up to do 250,000 units per year.

Also read: Hyundai explains why the Hyundai Ioniq 5 is the only EV you'll ever need

Apart from an electric model, Hyundai has previously mentioned that a Compact SUV, compact MPV and sedan models are being considered for Indonesia. The former will most likely point to the Hyundai Creta, possibly adapted to be a 7-seater for Indonesia-specific requirements.

Also read: Indonesia to abandon engine capacity-based tax for cars, CO2-based tax by Oct 2021

Although the pictures suggests the Ioniq 5 is a compact hatchback, it's actually a rather large compact SUV. Globally, two variants are offered - a rear-wheel drive 217 PS / 350 Nm and an all-wheel drive 305 PS / 605 Nm variant - figures are with 72.6 kWh long range battery fitted (up to 481 km driving range).

A smaller 58 kWh battery is also offered, with corresponding numbers dropping to 170 PS / 350 Nm and 233 PS/ 605 Nm.

The Ioniq 5 also supports both 400 V and 800 V charging. The latter allows for ultra-fast charging while using lighter, thinner cables within the vehicle, with less heat generated.