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The LCGC has become a very popular vehicle in Indonesia and now contributes nearly 25 percent to total domestic car sales. Considering the nation’s per capita GDP is still below USD $4,000, affordability is generally the most important factor for Indonesian consumers when buying a car, and this would explain consumers’ shift to the LCGC. For example, city car sales in Indonesia have plunged dramatically since the launch of the LCGC. Also the multipurpose vehicle , which – by far – is the most popular vehicle in Indonesia, felt the impact of the arrival of the LCGC. But the MPV’s dominant role in the nation’s automotive sector will persist.

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  • Toyota was the leading passenger vehicle brand in Indonesia with car sales over 295 thousand units in 2021.
  • Innovations in artificial intelligence and 5G connectivity are bringing extraordinary transformations to the automotive industry.

Application vendors are deterred by the cost and challenge of developing and supporting multiple proprietary interfaces to address the necessary range of vehicles. Several technology trends are driving a significant increase in the ability to generate and share a wide range of relevant information. I have been working in automotive consulting for 14 years, with experience in Europe and China. Currently based in Munich, I am responsible for the global automotive consulting business and part of the global leadership team at Capgemini Invent. Jean-Marie Lapeyre works with automotive clients to develop and launch actionable technology strategies to help them succeed in a data- and software-driven world. Regulatory and customer expectations to cut emissions, reduce ownership costs and provide smarter services; all of which require new ideas and solutions which go far beyond drivetrain and vehicle optimization.

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Our growing portfolio is built upon decades of automotive expertise so you can design with confidence. The Chinese automotive powerhouse, which already owns Volvo and Lotus, bought 7.6%. As the first W3C initiative in this space, the Automotive Working Group is designed to address the need for standards in a connected vehicle ecosystem.

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Still, there are no major concerns about this situation as domestic car demand has ample room for growth in the decades to come with Indonesia’s per capita car ownership still at a very low level. The GESITS electric motorcycle is the first electric motorcycle assembled by ITS. GESITS is the product of collaborative research between ITS and PT Garansindo, an electric vehicle industry.

Between the years 2007 and 2012, the Indonesian economy grew at least 6.0 percent per year, with the exception of 2009 when GDP growth was dragged down by the global financial crisis. In the same period, Indonesian car sales climbed rapidly, but also with the exception of 2009 when a steep decline in car sales occurred. Electric automobile actually enjoyed the greatest acceptance because it was quiet and easy to operate, but the limitations imposed by battery capacity proved competitively fatal.

To overtake Thailand as the biggest car manufacturer in the ASEAN region will, however, require major efforts and breakthroughs. Currently, Indonesia is primarily dependent on foreign direct investment, particularly from Japan, for the establishment of onshore car manufacturing facilities. The country also needs to develop car component industries that support the car manufacturing industry. Continue to find the latest innovations at ITS in developing the automotive world of the future. Reprove engineering process to develop the automotive component for local production.

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Explore our latest thought leadership, ideas, and insights on the issues that are shaping the future of business and society. Founded in 1905, SAE strives to serve its primary constituents in a variety of ways. Through its globally-recognized magazines, Automotive Engineering International, Aerospace Engineering, and Off Highway Engineering, SAE informs the mobility community about the latest developments in the field. Transforming the automotive value proposition means transforming manufacturing operating models to be successful. Participate actively in new vehicle concepts as base for new business models. BooksArm Education books appeal to students and learners as they progress from novices to experts in Arm-based system design.

Especially popular with women, electric cars remained in limited production well into the 1920s. One of the longest-surviving makers, Detroit Electric Car Company, operated on a regular basis through 1929. Daimler AG and Geely Holding Group have a joint venture called smart Automobile, both companies hold a 50-50% stake. Daimler AG and BYD Auto have a joint venture called Denza, both companies hold a 50-50% stake.