Indonesia`s car production predicted to reach 1.4 million units

Jumat, 19 September 2014 | 09:33

Indonesias car production is predicted to reach 1.4 million units this year up from 1.3 million units last year.The prediction is based on capacity expansion by a number of producers, the Indonesian Association of motor vehicle industry (Gaikindo) said here on Thursday.

"Currently , the countrys automotive industry is growing fast," Gaikindo general chairman Sudirman MR said when addressing the opening of Indonesia International Motor Show (IIMS).

Sudirman said car production in the first eight months of this year already reached 878,000 units up from 830,000 units in the same period last year.

Car sales on the domestic market are predicted to reach 1.25 million units this year or a slight increase from 1.2 million units last year, he said.

Domestic sales grew only slightly but strong growth was recorded in exports, he added.

"Exports of cars in completely built up (CBU) form totaled 170,958 units last year . In the first 8 months of this year exports of cars in CBU form already reached 126,935 units. The figure is predicted to rise to 200,000 units in the whole of this year," he said.

Increase was also predicted in the exports of car in completely knocked down (CKD) form from 105,000 units in 2013 to 120,000 units this year.

"In the January-August period exports of cars in CKD form already reached 71,000 units," Sudirman said.(*)