Vehicle sales in Indonesia 2014-2023
In 2023, roughly one million motor vehicles were sold in Indonesia, up significantly from approximately 887 thousand units in 2021. This figure was derived from sales of both the cars that were manufactured in Indonesia and the ones that were imported to Indonesia.
Majority of Indonesians own a conventional car
Although the number of sales slightly decreased, the car ownership rate in Indonesia was still higher than its neighboring countries, like Singapore, the Philippines, and Vietnam. According to the survey conducted in the same year, about 60 percent of Indonesian respondents stated that they owned a car, out of whom about 93 percent owned a conventional car. Conventional cars use an internal combustion engine (ICE) for propulsion, while electric and hybrid cars use assistance from an electric motor or other mechanisms.
Japanese MPVs fits into Indonesian market more
Japanese car brands dominate the Indonesian market. Toyota, Daihatsu, and Honda had the most of the number of sales in the country. The main reason for this is that these brands have always adapted to Indonesian culture and regulations rapidly since the 1970s. While European brands are more oriented to luxury sedans, Japanese brands are more suited to the family-oriented Indonesian culture by selling affordable MPVs (Multi-Purpose Vehicles), which are more suitable for family trips. Toyota sold approximately 296 thousand vehicles to Indonesia in 2021, while BMW only sold 2,390 units in the same year.