Indonesian Political, Business & Finance News

Transparency Emerges as the Main Issue in Used Car Buying and Selling in Indonesia

| | Source: KOMPAS Translated from Indonesian | Business
Transparency Emerges as the Main Issue in Used Car Buying and Selling in Indonesia
Image: KOMPAS

JAKARTA – Amid the proliferation of used car trading platforms, consumers’ concerns about vehicle conditions have not fully dissipated. Clarity of information remains a crucial factor often questioned before transactions are made.

Otospector owner Jeffrey Andika stated that the primary issue in purchasing used cars in Indonesia is not merely the price, but openness about the vehicle’s condition.

“The first problem with buying used cars in Indonesia is transparency of condition,” he said in North Jakarta on Thursday (30/4/2026).

According to him, these three aspects are not always fully disclosed, thus sparking doubts during the buying process.

“Our inspection focus is on three points: accident history, flood damage, and engine problems,” said Jeffrey.

Certainty about these conditions, he continued, forms an important foundation for consumers to feel more secure and confident in making decisions.

Beyond vehicle condition, another frequent source of confusion is pricing. In several cases, the figures listed in advertisements do not always reflect the actual transaction value.

“The prices here are guaranteed as cash prices, so it’s impossible for users to see a price that turns out to be a different scheme,” he said.

Additionally, he highlighted the potential risks in direct transactions between individuals. According to him, verification processes and vehicle legality aspects in personal transactions tend to be weaker compared to those through showrooms.

“Fraud usually occurs in individual deals, rarely in showrooms,” he said.

On the other hand, the used car market is said to be facing pressures. Jeffrey assessed that 2025 would be a challenging period, with declining purchase interest impacting transaction volumes.

“Buyers are decreasing, so transactions naturally drop,” he said.

Pressure also comes from the increasing variety of new vehicle options, including electric cars with increasingly competitive prices. This situation gives consumers alternatives beyond used cars.

“Consumers now have new choices. Why buy an expensive used car when you can get a new one at a similar price,” he remarked.

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