Mercedes, BMW to launch new cars to up sales

The Jakarta Post, Jakarta

Two leading German carmakers -- Stuttgart-based DaimlerChrysler through its flagship Mercedes-Benz and Munich-based BMW -- are to launch new models this year in a bid to boost sales.

PT DaimlerChrysler Indonesia President Director Friedel Engisch told a press conference on Tuesday that following satisfactory sales last year -- in which Mercedes-Benz managed to off-load a total of 2,051 passenger vehicles excluding the 4x4 classification -- the company plans to launch three new models of CLS class, the new A class and the new M class.

"This year, we are aiming to sell between 2,200 and 2,400 vehicles, including sales of the three new cars that will be launched," he said.

"We are optimistic (with our target) because based on last year's performance, we managed to make Rp 244 billion (US$26.5 million) in profit before tax."

Sales in the premium segment have been stagnant over the last three years with a total volume of 4,400 units being sold in 2002, 4,300 in 2003 and 4,410 in 2004.

Mercedes-Benz sales over the past three years accounted for 45 percent of the market in 2002, and 47 percent in both 2003 and 2004.

"With a Gaikindo (the Association of Indonesian Automotive Industries) estimate that the market will grow from last year's 480,000 units to 520,000 this year, we believe that the premium segment of the market will grow to around 4,800 units from 4,400 last year," he said.

Engisch explained that the much awaited CLS 350 -- carrying a 3.5-liter engine under its bonnet producing a maximum 272 horsepower -- would arrive in March. The price of the "four-door- coupe" car will be around Rp 1.6 billion.

He added that the new A class -- with a 1.5-liter engine and a price tag of Rp 260 million -- would come on the market in the first half of this year.

The new M class, which was recently launched during January's Detroit Motor Show, will arrive in the second semester of the year.

Meanwhile, PT BMW Indonesia sold a total of 2,053 cars last year, including 178 X Series models.

"The 3 Series model continues to be the market favorite, with 1,319 units sold last year," the company said in a statement.

BMW launched four models on the local market last year, comprising of 730 Li, 645 Ci coupe, the locally assembled 5 Series and the X3.

The company plans to launch two models -- the 1 Series hatchback and the new 3 Series -- in the first semester of this year.

"Last year was definitively an exciting year for BMW Indonesia. With these results, we will continue to strengthen our market leadership in the premium segment and we expect further successes in 2005," BMW Indonesia President Director Josef Honsel said in the statement.

Daimler -- Page 14