Sat, 13 Dec 1997

Ford Lynx slips quietly onto small car shopping lists

By John Aglionby

You have to hand it to Ford.

The economy is in turmoil and the cost of imports is rising exponentially by the day as the rupiah continues its free fall but the American company goes ahead and launches a sedan that many image-conscious Indonesians will see as nothing more than a taxi without the meter and badge.

With no fanfare whatsoever the fourth-generation Laser, called Lynx, went on sale this week. It is targeted at buyers in what is becoming the most competitive sector of the Indonesian automotive market: nonluxury sedans.

It comes in two forms, a 1.6-liter and 1.8-liter. Apart from the obvious maximum output (85kW/6,000rpm and 104kW/6,500rpm respectively) and torque (143Nm/3,500rpm and 166Nm/4,700rpm) differences, they are identical.

Both are four-cylinder 16-valve electronic multipoint fuel injection engines with five-speed manual transmission and have suspensions consisting of front independent McPherson struts with coil springs, a stabilizer bar and rear independent Quadralink struts with coil springs and a stabilizer bar.

Fog lamps and CD changer are standard on the 1.8-liter version.

In this class, antilock brakes, air bags and the latest side- impact bars are not to be found but the Lynx does include a high- mounted stop lamp as standard, a safety feature which some of the competitors do not have.

Local content is only about 8 percent, which is why the cost is slightly higher than might otherwise have been expected. The 1.6-liter is Rp 65 million (US$14,000) on the road and the 1.8- liter is Rp 69 million.

The distributor, PT Indonesia Republic Motor Company -- which is owned 38.5 percent by Bimantara -- accepts the economic outlook could have been more auspicious but says that it had no choice over the timing.

Jongkie Sugiarto, the president director of PT Bimantara Cakra Nusa, said: "Yes the timing is unfavorable and it would have been better to wait three or four months because we cannot expect too much from the market. But from the technical point of view, we had to go ahead.

"We have to replace the old model, which is no longer being made and so, is no longer available really in the showrooms.

Despite this, Jongkie is confident of meeting his sales target of about 50 Lynx a month.

"There are so many competitors, such as the Mitsubishi Lancer and Toyota Corolla and sales of the Timor car show that there are buyers for sedans as long as the price is cheap enough.

"People want sedans, but they want them at minibus prices and this is the way that us manufacturers will have to go. We have to meet market demand."

He predicts that total vehicle sales will drop to between 320,000 and 330,000 next year, with 70,000 being sedans.

The widespread image of the Laser being only a taxi should also not affect sales, Jongkie believes.

"People may say that it is just a taxi without the badge but people don't care anymore what cars are used as taxis. For example in Singapore, Mercedes are being used as taxis.

"We do not produce the taxi model anymore. That was the CT18, the first-generation Laser."

To make the car more attractive, an extensive after-sales service package accompanies the car. This includes a two-year spare parts guarantee, home service call repairs, 24-hour emergency service and a guarantee to buy back the car at market price, bearing in mind depreciation over time.

Like General Motors however, Ford is not planning any major new investments in Indonesia. Jongkie said: "Ford still sees the national car issue as an obstacle to further investment and all major new schemes have been postponed until that is resolved.