Attracted by low per capita-car ownership, low labor costs and a rapidly expanding middle class, various global car-makers (such as Toyota) decided to invest heavily to expand production capacity in Indonesia and may make it their future production hub. Others, such as General Motors have come back to Indonesia (after GM had shut down operations years earlier) to tap this lucrative market. However, Japanese car manufacturers remain the dominant players in Indonesia’s car manufacturing industry, particularly the Toyota brand. More than half of total domestic car sales involve Toyota cars. It will be a very difficult journey for western brands to compete with their Japanese counterparts in Indonesia.
Although the relatively new low-cost green car (LCGC) has gained popularity in Indonesia (see below), most Indonesians still prefer to buy the multipurpose (family) vehicle. The clear market leader in Indonesia’s car industry is Toyota (Avanza), distributed by Astra International (one of the largest diversified conglomerates in Indonesia which controls about 50 percent of the country's car sales market), followed by Daihatsu (also distributed by Astra International) and Honda.
Vision of the Indonesian Government regarding the Automotive Industry
The Indonesian government is eager to turn Indonesia into a global production base for car manufacturing and would like to see all major car producers establishing factories in Indonesia as it aims overtake Thailand as the largest car production hub in Southeast Asia and the ASEAN region. On the long-term, the government wants to turn Indonesia into an independent car manufacturing country that delivers completely built units (CBU) of which all components are locally-manufactured in Indonesia.
Currently, Thailand controls roughly 43.5 percent of the ASEAN region in terms of sales, while Indonesia comes in on second place with a 34 percentage point market share.
Attracted by low per capita-car ownership, low labor costs and a rapidly expanding middle class, various global car-makers (such as Toyota) decided to invest heavily to expand production capacity in Indonesia and may make it their future production hub. Others, such as General Motors have come back to Indonesia (after GM had shut down operations years earlier) to tap this lucrative market. However, Japanese car manufacturers remain the dominant players in Indonesia’s car manufacturing industry, particularly the Toyota brand. More than half of total domestic car sales involve Toyota cars. It will be a very difficult journey for western brands to compete with their Japanese counterparts in Indonesia.Although the relatively new low-cost green car (LCGC) has gained popularity in Indonesia (see below), most Indonesians still prefer to buy the multipurpose (family) vehicle. The clear market leader in Indonesia’s car industry is Toyota (Avanza), distributed by Astra International (one of the largest diversified conglomerates in Indonesia which controls about 50 percent of the country's car sales market), followed by Daihatsu (also distributed by Astra International) and Honda.Vision of the Indonesian Government regarding the Automotive IndustryThe Indonesian government is eager to turn Indonesia into a global production base for car manufacturing and would like to see all major car producers establishing factories in Indonesia as it aims overtake Thailand as the largest car production hub in Southeast Asia and the ASEAN region. On the long-term, the government wants to turn Indonesia into an independent car manufacturing country that delivers completely built units (CBU) of which all components are locally-manufactured in Indonesia.Currently, Thailand controls roughly 43.5 percent of the ASEAN region in terms of sales, while Indonesia comes in on second place with a 34 percentage point market share.
การแปล กรุณารอสักครู่..