Dumping Chinese motorbikes

An outcry from Indonesian producers/assemblers over dumping efforts is now loud and clear. Actually, the firms here are shameless. They grow fat and lazy. That is the story if the industry is protected too long and too much.

They shamelessly rip off the consumer by charging them from US$200 to $300 per bike, which the Chinese can claim, being their advantage.

The bikes in China leave the manufacturing plants at a cost of about $550 per piece, and if other costs and a small margin is added, they can be sold here 20 percent to 30 percent cheaper than local ones.

If these cheap prices are initiated for preoperational marketing until they are produced here in volume, it is a sound and healthy practice. And we should know if the locals cannot beat the ex-factory Chinese cost price, so be it. The local producers/assemblers should shape up and close down if they only can live from protection, not from brainpower to be equal with the Chinese and being able 15 years ago to reach volumes of millions and to flood the Chinese market with cheap bikes.

This was the chance to prove their manhood and battle readiness, instead of now crying in the lap of the fatherland here and asking for further "help" against the hitting stick of competitiveness, letting the Chinese come and hit them.

What a shame, and I hope the government abstains from any help. Let them suffer and shape up, and stop making the Indonesian consumer pay for their laziness.

Y. SANTO

Jakarta