Indonesian government may inspect BYD assembly plant in Subang, West Java over locals’ employment dispute

The Indonesian government may conduct a field inspection of BYD’s assembly plant in Subang, West Java, following a dispute over demands for employment opportunities for local residents, Jakarta Globe has reported.

Resolving the issue would require a scope of coordination that goes beyond the country’s ministry of industry, and the Indonesian government could visit the BYD plant to help reconcile the interests of the carmaker with those of the surrounding community, said Indonesian industry minister Muhammad Sarmuji.

Indonesian government may inspect BYD assembly plant in Subang, West Java over locals’ employment dispute

“Of course, resolving this issue is not solely the responsibility of the industry ministry. We will look into it, and if necessary, we will visit the site with other government agencies,” Sarmuji said.

The dispute appeared to arise from what the local residents believe to be insufficient employment opportunities, while the carmaker might believe it had fulfilled its local hiring obligations, the Indonesian industry minister said.

The BYD plant in Subang, West Java was officially launched on September 3 this year, and has an annual production capacity of 150,000 vehicles, with more than 5,000 workers employed, according to the report.

Indonesian government may inspect BYD assembly plant in Subang, West Java over locals’ employment dispute

Last month, BYD Malaysia announced Sime Motors’ Inokom Corporation as its local assembly (CKD) partner, a month after BYD Malaysia said that it had shelved the plan for its Tanjong Malim facility, which was originally announced in August 2025.

In Malaysia, the Inokom plant in Kulim, Kedah is staffed by a 100% Malaysian workforce comprised of more than 2,700 employees as of June this year. In addition to vehicle assembly, 370 local vendors are engaged with Inokom, in support of the Malaysian automotive ecosystem.

At present, Inokom produces vehicles for seven automotive brands; BMW, MINI, Porsche, Mazda, Hyundai, Chery and Kia, for domestic and export markets. Inokom is currently majority owned by Sime Motors (51%), with other key shareholders being Sime Darby Hyundai (5%), Hyundai Motor Company of South Korea (15%) and Bermaz Auto (29%).