Overall global car sales will continue to grow, but the annual growth rate is expected to drop from the 3.6 percent over the last five years to around 2 percent by 2030. This drop will be largely driven by macroeconomic factors and the rise of new mobility services such as car sharing and e-hailing. Domestically, GAIKINDO facilitates its members’ interests in relation with the Government’s policies regarding the automotive industry. This includes policies on industry and trade, energy, tax, safety standards, the use of technology, and environment. In global role, GAIKINDO is a partner of the automotive industry associations in various countries. This is mainly with associations in the countries where automotive industry becomes the backbone of the economy, and in particular with the principal countries whose products enter the Indonesian automotive market.
- Perspectives Understanding COVID-19’s impact on the automotive sector Explore key questions and practical next steps for automotive leaders to respond to the COVID-19 crisis.
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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.
Busting automotive sustainability myths
With 19.3 million units manufactured in 2012, China almost doubled the U.S. production of 10.3 million units, while Japan was in third place with 9.9 million units. From over to 2012 , the number of automobile models in the U.S. has grown exponentially. Achieve a holistic approach to vehicle, sales, and data management and focus on the future of mobility with solutions that provide a vehicle-centric view of sales and car-as-a-service processes.
Electrification, Powertrain & Compliance
Develop auxiliary equipment for the production process to improve the quality and the quantity of local automotive industry. Major car manufacturing nations like the US, Germany, China, Japan and South Korea, as well as Volkswagen, Toyota, Peugeot, Honda, Nissan and Hyundai, did not pledge. Safety is a state that implies being protected from any risk, danger, damage, or cause of injury. In the automotive industry, safety means that users, operators, or manufacturers do not face any risk or danger coming from the motor vehicle or its spare parts. Safety for the automobiles themselves implies that there is no risk of damage.
The Indonesian automobile market was dominated by Japanese car brands, and most of these brands, such as Toyota, Isuzu and Daihatsu, were solely distributed and/or imported by PT. Toyota was the leading passenger vehicle brand in Indonesia with car sales over 295 thousand units in 2021. There was only one non-Japanese car brand among the best-selling car manufacturers in Indonesia. The Chinese manufacturer Wuling launched their first car in early 2017 and made it in the top ten brands of cars sold with about 25.5 thousand vehicles sold in 2021. Top models of BMW and Audi cars are shipped as finished automobiles (CBU – Completely Built Up), while other models are assembled on site. SAP can help you start or enhance your digital transformation – no matter where you are in your journey.