Auto expo goes ahead despite political showdown<\/p>\n
By Damar Harsanto<\/p>\n
JAKARTA (JP): While the country anxiously watches the
\nescalating political showdown between President Abdurrahman Wahid
\nand legislators, hundreds of automotive companies will proudly
\nexhibit their products for car aficionados at Gaikindo's 11th
\nAuto Expo 2001 from Saturday to next Sunday.<\/p>\n
The venue is the Jakarta Convention Center, which is only
\nmeters away from the legislative building, which has been the
\nfocal point for many demonstrations both in support of and
\nagainst President Abdurrahman and where the legislators are
\npreparing to impeach the President.<\/p>\n
Placing worries aside, 125 automotive companies have confirmed
\ntheir participation in the expo, organizers said.<\/p>\n
\"Yes, we are worried by the fact that all can go wrong, but
\nall members have confirmed to participate, except Timor and
\nMercedes-Benz. Just pray that everything will run peacefully,\" F.
\nSuseno, coordinator for the Gaikindo exhibition told The Jakarta
\nPost.<\/p>\n
Suseno said Minister of Industry and Trade Luhut B. Pandjaitan
\nis confirmed to open the exhibition, which is held by the
\nAssociation of Indonesian Automotive Industries (Gaikindo).<\/p>\n
Weeks before the exhibition, many automakers were busy
\nintroducing their latest car models, that will be displayed
\nduring the expo.<\/p>\n
French-Japanese automaker Nissan Motor Co Ltd introduced the
\nNissan Sentra and the Nissan X-trail models.<\/p>\n
\"We're eager to be back in Indonesia, not for one or two
\nyears, but for the long term as Indonesia is a promising market,\"
\nvisiting Nissan president and chief executive officer Carlos
\nGhosn said.<\/p>\n
Nissan is not alone as French automotive giant Renault S.A.,
\nwhich also owns a 36.8 percent stake in Nissan, said last month
\nthat it was set to reenter the country's auto market.<\/p>\n
Renault launched four new models on Friday, that is Kangoo,
\nScenic, Clio and Laguna.<\/p>\n
\"We have decided to start now. We are committed for the long
\nterm as we think Indonesia is among the key markets in the Asia
\nPacific region,\" Christine Lavoie-Gagnon, corporate
\ncommunications manager of Renault Group Liaison Office, told The
\nPost<\/p>\n
Meanwhile, American automaker General Motors Corp has also
\nunveiled two sports cars -- the Subaru Impreza WRX and the Subaru
\nForester.<\/p>\n
\"We've studied the opportunities that are available here and
\nwe think it is the right time for us to enter the country's auto
\nmarket now,\" Geoff Bedford, director of sales operations for
\nGeneral Motors Asia Pacific said.<\/p>\n
The Subaru cars are made by the automotive division of the
\nJapanese firm Fuji Heavy Industries which is now 20 percent owned
\nby General Motors following a $1.4 billion share acquisition last
\nyear.<\/p>\n
Local automakers are no less eager.<\/p>\n
PT Toyota Astra Motor introduced on Thursday its new Corolla
\nAltis model to boost its presence in the local automotive market.
\nMeanwhile, PT Astra Daihatsu Motor unveiled the following day its
\nDaihatsu Ceria and All-EFI Taruna.<\/p>\n
The rising political tension between the legislators and the
\nPresident did not seem to discourage the automakers from taking
\npart in the expo.<\/p>\n
Gaikindo's chairman Bambang Trisulo commented that many
\nautomakers had long term plans to penetrate or strengthen their
\nposition in the country's auto market.<\/p>\n
\"Of course, Indonesia's great population makes it a potential
\nmarket target for both the international and local auto industry.
\nBut, we cannot predict what will be the outcome of the current
\nheated political climate,\" Bambang said.<\/p>\n
Car makers opted for going ahead with their plans despite
\npossible risks, as they did not wish to delay their entry any
\nlonger, he said.<\/p>\n
\"They must dare to take the risks as the moves are closely
\nrelated to their business survival,\" Bambang said.<\/p>\n
Bambang also said the automakers were determined to
\nparticipate in the exhibition amid the unfavorable climate
\nbecause they were convinced that the current political tension
\nwould soon abate.<\/p>\n
Automotive observer Soehari Sargo said most of the automakers
\nwho aggressively launched their products lately were still in the
\nfirst phase of building their marketing networks.<\/p>\n
\"What they've done up until now, is just to strengthen their
\nmarketing networks,\" Soehari said.<\/p>\n
\"They may have plans to invest in the country but they will
\nwait until there are market responses to their products and the
\ncountry's investment climate is more favorable,\" he said.<\/p>\n
Gaikindo has projected national car sales at 280,000 units
\nthis year, as against more than 300,000 last year. (03)<\/p>",
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"sponsor": "Okusi Associates",
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