Indonesian carmakers set for new sales record high

The Jakarta Post, Jakarta

There is strong evidence that the Association of Indonesian Automotive Manufacturers (Gaikindo) will surpass its 1997 sales record, given the pace they are on through the third quarter of 2004.

Gaikindo records show that 348,635 vehicles were sold in the first nine months of the year, with 45,354 units sold in September.

The association expects hefty sales of about 420,000 units this year, especially after the nation experienced a relatively peaceful election period, with Susilo Bambang Yudhoyono and Jusuf Kalla elected.

Most carmakers expect the new administration to quickly improve Indonesia's infrastructure, as well as clear automotive policies to allow even higher sales, especially under the ASEAN Free Trade Agreement (AFTA).

Indonesia reached its sales peak in 1997 with 386,691 units sold before the monetary crisis hit. Sales plummeted to just 58,000 in 1998.

The figure returned to 300,000 in 2000, although it had yet to reach precrisis figures. Last year, 354,311 vehicles were sold, an increase of 11.5 percent compared to 2002.

As of September, the local subsidiary of Japanese carmaker Toyota, PT Toyota-Astra Motor (TAM), snatched the lion's share of 99,798 units, or 28.6 percent, compared with 76,591 units over the same period last year.

In September, Toyota sold 11,414 units, fueled by the release of the new Toyota Kijang Innova and Toyota Avanza multipurpose vehicles (MPVs). Some 3,234 Innovas and 4,190 Avanzas were sold.

The company is hoping for total sales of 140,000, or 33 percent of market share this year.

Another Japanese subsidiary, PT Honda Prospect Motor (HPM), reported its highest monthly sales in 30 years of operation in Indonesia.

September saw 5,600 Hondas sold, including 3,795 of the Honda Jazz. In total, 34,209 vehicles have been sold so far, a two-fold increase compared to last year's figure of 16,274 in the January to September period.

Meanwhile, American carmaker PT Ford Motor Indonesia (FMI) sold on Oct. 14 its 10,000th car after returning to the Indonesian market in 2002.

So far PT FMI has sold 4,630 units, an increase of 67 percent compared to the same period last year. The company sold 801 units in September, while it hoped to reach a total of 6,000 by the end of this year.

In the premium segment, German carmaker PT BMW Indonesia claimed a 42.4 percent market share of 1,393 vehicles, with 213 units delivered in September.

Another German carmaker, PT DaimlerChrysler Indonesia sold 1,695 units, delivering 247 in September.

The figures also include commercial vehicles such as buses and trucks.