Kawasaki Indonesia's Strategy: Sell Global Motorcycles at Competitive Prices

Jakarta — PT Kawasaki Motor Indonesia (KMI) has recently introduced global motorcycle models to the Indonesian market. This strategy is accompanied by setting prices that are relatively competitive compared to several competitors. For example, when launching the Kawasaki KLE 500, which is priced from 140 million to 150 million rupiah, it is lower than several motorcycles in the same category.

Michael C Tanadhi, Deputy Head of Sales and Promotion at PT Kawasaki Motor Indonesia, stated that one factor making the prices competitive is Kawasaki’s position in Indonesia as a direct subsidiary of the principal. “If we are a manufacturer, not a distributor, we manufacture directly under the principal, that is clearly one group company,” Michael said in Jakarta on Wednesday (11 March 2026).

Because of this, Kawasaki is also focused on developing the large-capacity motorcycle segment. “Indeed, Kawasaki currently launches mostly global products,” he said. Michael added that support from the principal also enables Kawasaki Indonesia to obtain better prices for these motorcycles. “In terms of pricing, the principal gives us very good prices,” he said.

However, he acknowledged that the large motorcycle market in Indonesia still faces challenges due to the existence of luxury taxes. This makes the development of the segment not yet optimal. “What is unfortunate is that because of the luxury tax, the market has not developed. So even with the luxury tax, we try to make our prices competitive,” Michael said.