Low car sales in Indonesia this 2024 have forced The Association of Indonesian Automotive Industries (GAIKINDO) to readjust its sales targets from 1.1 million units to 850,000 units. Weak sales are attributed to low vehicle demand despite the country’s growing economy.
For the period of January to September 2024, GAIKINDO recorded only 633,218 units sold. Last year’s car sales from the same period saw 746,246 units sold. The difference comes at 16 per cent down for the year-on-year (YoY) comparison. September alone saw 72,667 cars sold, a 5.8 per cent fall from the previous month. The year-on-year comparison for the month fares no better, with a 9.1 per cent decrease in overall sales.
GAIKINDO and its members have revised their sales targets for the remainder of 2024. The association believes it would be difficult to reach 1.1 million units sold with only three months left in the year.
CURRENT MARKET
Toyota remained squarely in the lead with 25,454 cars sold for September 2024 and 35 per cent share of the car market. The Japanese auto giant has sold 208,301 units overall so far for the year. Due to low car sales in Indonesia, other brands fall behind Toyota.
Daihatsu sold slightly less than half of Toyota with 12,676 units recorded. Their sales fell 15.5 per cent from last year’s recorded sales. Honda follows suit with 7,926 cars sold and a 27.4 per cent decrease compared to September 2023. Both companies have 17.4 per cent and 10.9 per cent of the market share respectively.
However, Honda also decreased its YoY sales with a 27.4 per cent fall. Suzuki showed similar results in its YoY comparison at 20.3 per cent decrease and only 5,183 units sold.
MG Motor saw the largest growth amongst the car brands with a 151.9 per cent increase compared to September of last year. Subaru followed behind MG Motor, with 81.8 per cent growth in its YoY comparison. The FAW Group saw the largest decrease with a 75.9 per cent fall compared to September 2023.
GAIKINDO is hoping that their upcoming event, GAIKINDO Jakarta Auto Week (GJAW), will boost car sales before the year ends. The association is optimistic about the effect of their events on the car market. “GAIKINDO holds exhibitions such as GIIAS Bandung, and soon there will be Jakarta Auto Week and others. These are all stimuli to be able to increase sales figures,” said Chairman Jongkie Sugiarto.
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