The Jakarta Post, Jakarta
After a gloomy 2006, car sales rebounded in 2007 with a total sale of 434,449 units or up by 36.2 percent from the 318,904 units sold in the previous year.
Once again, Toyota ruled the market in 2007, selling 150,677 units -- an increase from the 123,703 units the company sold in 2006, the Indonesian Automotive Industry Association (Gaikindo) reported Wednesday.
Gaikindo chairman Bambang Trisulo reported the Japan-based company had dominated the market for more than 10 years, taking 40 percent of the total market share in 2007, followed by Mitsubishi with 20 percent.
Mitsubishi sold a total of 61,547 units, followed by Suzuki with 58,095 units and Daihatsu with 51,957 units, with the combined remainder registering a total of 51,703 units.
Bambang said automotive sales reached a peak in November last year, with 45,827 units sold within the month. The lowest sales were recorded in July, at 21,891 units.
He added the rise in car sales last year was supported by improving economic indicators; an inflation rate that reached 6.59 percent, the Rupiah currency stable against the US dollar between Rp 9,200 to Rp 9,400 and a reduced Bank Indonesia rate which remained at 8.0 percent in December.
In 2006, car sales dropped by 40.3 percent from 533,841 units in 2005 due to a 87.5-percent increase in the price of fuel in October 2005. The fuel hike not only devastated the public's purchasing power and consumer confidence, but also made 2006 the worst car-sales year in the last five years.
"The price of the product, its resale value and easy access to spare parts are the key factors that customers' consider before buying a car," Bambang said.
Gaikindo reported the best-selling car type in Indonesia last year was the 4x2 non-sedan, which includes varieties such as the 4x2 low multipurpose vehicle (MPV), which is similar to a van, the 4x2 medium MPV and the 4x2 high sport utility vehicle (SUV).
An SUV is a 4x2 non-sedan car that combines the towing capacity of a pickup truck with the passenger-carrying space of a minivan, together with on or off-road ability.(ndr)
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