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  • Indonesia accounts for about one-third of complete annual car sales in ASEAN, followed by Thailand on second position.
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While Indonesia has a nicely developed MPV and SUV manufacturing trade, the nation’s sedan industry is underdeveloped. This is a true missed opportunity in terms of export performance as a end result of about eighty percent of the world’s drivers use a sedan vehicle. The key purpose why Indonesia has not developed a sedan trade is as a end result of the federal government’s tax system doesn’t encourage the manufacturing and export of the sedan vehicle. The luxurious goods tax on the sedan is 30 p.c, while the tax on the MPV is about at 10 %. This causes the high sedan value and so as to encourage demand for the sedan its price needs to turn out to be extra competitive.

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