Jakarta CNBC Indonesia – Car sales at the beginning of 2024 will experience a sharp decline compared to the beginning of 2023. Based on data from the Association of Indonesian Automotive Industries (Gaikindo), car sales in Indonesia in the first quarter of 2024 were only 215,069 units. This figure is down 23.77% compared to January-March 2023, which recorded sales reaching 282,125 units.

Sales Marketing and After Sales Director of PT Honda Prospect Motor (HPM) Yusak Billy said that the decline in car sales at the beginning of this year was caused by various factors, starting from economic and political conditions which made some people wait and see.

“The achievement of the national automotive market in the first quarter was still influenced by political and economic conditions both nationally and globally yes. “Continuing to rise in foreign currency conditions, tightening approval of loan funds for vehicles, the automotive market is slowing down,” he told CNBC Indonesia, Monday (22/4/2024).

Not only quarter to quarter, Gaikindo data shows that national car sales on a wholesale basis (from manufacturers to dealers) have indeed increased on a monthly basis since the beginning of 2024.

National car sales in March 2024 will still fall by 26.21% or 26,548 units on an annual basis. In March 2023, sales were recorded at 101,272 units.

“Currently we are still monitoring the impact of this situation to determine the right strategy to maintain the best value for consumers,” said Billy.

Economic observer Yannes Martinus Pasaribu said that the still sluggish car sales in the country were triggered by several factors.

Weakening of the rupiah exchange rate and stagnation of economic growth. These two things are the main factors in people's sluggish purchasing power, resulting in postponing car purchases.

“Tightening vehicle credit policies by financial institutions have also hampered car purchases,” he told CNBC Indonesia.

“The increase in the price of imported car components also contributed to the increase in selling prices,” he added.

[Gambas:Video CNBC]

(dce)