It is believed that electric cars will play an important role in the automotive market in 2024. The presence of green cars will help achieve the target of 1.1 million units in 2024.
It is known that the Association of Indonesian Automotive Industries or Gaikindo has set a car sales target of 1.1 million units by 2024. This target is higher than the one set this year at 1.05 million units. Chairman I Gaikindo Jongkie D. Sugiarto said that one of the reasons for setting a higher target for next year is the presence of electric cars from China which will start marketing their products.
“The target is 1.1 million units because there are BEV cars at attractive prices from China,” he said.
One brand from China that will market its products in 2024 is Neta through the pure electric car or battery electric vehicle (BEV) Neta V. Later local production will be carried out in a completely knocked down (CKD) scheme starting in the second quarter of 2024.
The first stage of marketing Neta in the Indonesian automotive market is in the form of importing complete cars or CBUs through the Neta V product with a production target of 10,000 units. Then it continues with the CKD production phase for Neta V and Neta U, and continues with the incompletely knocked down (IKD) scheme to determine the level of domestic components (TKDN).
Other brands from China that will start marketing their products are Great Wall Motors which is under the auspices of Inchcape Plc., and also PT Indomobil Sukses Internasional Tbk (IMAS).
The plan is that Great Wall Motors will bring a pure electric car called Ora 03. Then there is a hybrid type, namely Haval and an ICE type via the Tank model. Local production of Great Wall Motors models is planned to begin in the first quarter of 2024 using the same facilities for the production of Mercedes-Benz cars.
On the other hand, Jongkie hopes that the many new brands and products that will emerge in 2024 will help increase sales figures nationally. Apart from that, Indonesia’s economic growth is also expected to improve. Moreover, Bank Indonesia (BI) said that the domestic economy in 2024 is estimated to grow in the range of 4.7% to 5.5% and will increase even higher in 2025.
Furthermore, he also hopes that BI’s benchmark interest rate can be lowered after it has been set to 6%. A macroeconomic factor that is also worth paying attention to is the rupiah exchange rate against the United States (US) dollar. For information, BI estimates that the rupiah exchange rate in 2024 will be relatively more stable than the end of 2023.
This is if we assume the rupiah is at the level of IDR 15,510 per dollar on average in BI’s 2024 annual budget plan (RATBI). Meanwhile, regarding car exports or shipments abroad, Jongkie said this cannot be predicted because it is controlled by the principals of each automotive brand.
