Number of cars in use in Indonesia 2017-2021
The Indonesian automotive sector
Despite the fossil fuel subsidy reductions in 2014, the automotive sector is still on the rise; passenger car sales have almost tripled between 2005 and 2018 resulting in Indonesia becoming the largest automotive market in Southeast Asia. This development is mainly driven by the growing middle class as well as the fact that owning a car is seen as a very important status symbol for many Indonesians.
Successful car brands in Indonesia
In Indonesia, Japanese automakers dominate the market and held a combined market share of over 90 percent. In 2021, Toyota ranked first with a market share of almost 34 percent, followed by Daihatsu and Mitsubishi Motors with about 17.5 and 12 percent respectively. The Japanese brands have optimally adapted to the needs of Indonesian customers with their models available on the market. Small and medium-sized "Sport Utility Vehicles” (SUV) and "Multi-Purpose vehicles" (MPV) with simple but robust technology at reasonable prices are in demand. They offer enough space for families and are better prepared for bad roads or floods because of their higher ground clearance.