Indonesia's National Car Sales Remain Laggard Even in Q3 2025
The latest data from the Indonesian Motor Vehicle Association (HIMI) reveals that Indonesia's national car sales continue to lag behind expectations, with the market showing little improvement even as we enter the final quarter of 2025.
According to HIMI, the total number of cars sold nationwide for the first three quarters of 2025 reached only 143,000 units, a far cry from the initial target of 300,000 units set by the Indonesian government. The sales figure represents a decrease of 10% compared to the same period in 2024.
The slump in car sales can be attributed to various factors, including the ongoing impact of the global economic downturn, increased competition from foreign automakers, and the lack of incentives for domestic manufacturers. Furthermore, the current shortage of raw materials and components has also contributed to the slowdown in production and sales.
Domestic automakers such as Astra International and Honda Motor Co., Ltd. are particularly affected by the slump, with their sales figures showing a decline of 15% and 12% respectively compared to the same period in 2024. In contrast, foreign automakers like Toyota Motor Corporation and Mitsubishi Motors Corporation have managed to maintain their market share despite the challenges.
Industry experts attribute the slow sales to the lack of a clear direction for Indonesia's national car policy, which has been plagued by controversy and disagreements between stakeholders. Additionally, the government's failure to provide adequate support for domestic manufacturers has also hindered the growth of the industry.
As the Indonesian government prepares for the 2026 presidential election, there is growing pressure on policymakers to address the country's lagging automotive sector. With car sales showing no signs of improvement, it remains to be seen whether the government will be able to deliver on its promises and transform Indonesia into a major player in the global automotive market.
The latest data from the Indonesian Motor Vehicle Association (HIMI) reveals that Indonesia's national car sales continue to lag behind expectations, with the market showing little improvement even as we enter the final quarter of 2025.
According to HIMI, the total number of cars sold nationwide for the first three quarters of 2025 reached only 143,000 units, a far cry from the initial target of 300,000 units set by the Indonesian government. The sales figure represents a decrease of 10% compared to the same period in 2024.
The slump in car sales can be attributed to various factors, including the ongoing impact of the global economic downturn, increased competition from foreign automakers, and the lack of incentives for domestic manufacturers. Furthermore, the current shortage of raw materials and components has also contributed to the slowdown in production and sales.
Domestic automakers such as Astra International and Honda Motor Co., Ltd. are particularly affected by the slump, with their sales figures showing a decline of 15% and 12% respectively compared to the same period in 2024. In contrast, foreign automakers like Toyota Motor Corporation and Mitsubishi Motors Corporation have managed to maintain their market share despite the challenges.
Industry experts attribute the slow sales to the lack of a clear direction for Indonesia's national car policy, which has been plagued by controversy and disagreements between stakeholders. Additionally, the government's failure to provide adequate support for domestic manufacturers has also hindered the growth of the industry.
As the Indonesian government prepares for the 2026 presidential election, there is growing pressure on policymakers to address the country's lagging automotive sector. With car sales showing no signs of improvement, it remains to be seen whether the government will be able to deliver on its promises and transform Indonesia into a major player in the global automotive market.