Mercedes takes hatchback orders<\/p>\n
JAKARTA (JP): PT Mercedes Benz Indonesia, capitalizing on
\nrecent slashes in import tariffs, said on Monday it was taking
\norders for its A-class hatchbacks in fully built form for
\ndelivery early next year.<\/p>\n
\"We have received quite a number of orders for the A-class,\"
\ndeputy director Anto Nurdiyanto told The Jakarta Post.<\/p>\n
He declined to give the number but said it was promising. \"We
\nhope to be able to accommodate all the bookings and satisfy all
\nthe customers.\"<\/p>\n
Mercedes launched the hatchback in Germany several years ago
\nin an effort to expand its market beyond the traditional segment
\nof luxury cars. It became a popular vehicle in Europe and will
\nbecome available in Indonesia at the beginning of next year.<\/p>\n
A-class cars will be priced at about Rp 200 million off-road
\nat the current rupiah exchange rate.<\/p>\n
Mercedes also will import fully assembled M-class four wheel
\ndrive and the S-class cars, among the most expensive in its range
\nwith prices expected to reach from Rp 1.15 billion to Rp 1.39
\nbillion.<\/p>\n
In compliance with the World Trade Organization's ruling, the
\ngovernment last month deregulated the automotive sector, slashing
\nimport tariffs on luxury sedans to 65 percent from 175 percent.
\nLuxury cars are still subject to 30 percent to 50 percent taxes
\non luxury goods.<\/p>\n
Anto said the new policy would affect prices of new orders of
\nall types of Mercedes cars, but not for existing units of C-class
\nand E-class cars which arrived in completely knocked-down form.<\/p>\n
The company has a work force of 1,125 in its local plants,
\nassembling Mercedes sedans, trucks and buses.<\/p>\n
Anto declined to comment whether the company would continue to
\nassemble the C-class and E-class cars locally, or import them in
\nfully built forms.<\/p>\n
Like other automakers, Mercedes recorded a massive slump in
\nits Indonesian sales, falling to 444 units in 1998 from 3,400 in
\n1997.<\/p>\n
The first half of 1999 has been even worse, Anto said. \"We'd
\nbe content if we could sell 200 units this year.\" (02)<\/p>",
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