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Jakarta Post

Ford Indonesia’s after-sales service in limbo, dealers say

Anton Hermansyah (The Jakarta Post)
Jakarta
Mon, June 27, 2016

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Ford Indonesia’s after-sales service in limbo, dealers say A model poses with a new variant Ford Fiesta at the Indonesia International Motor Show recently. (Kompas/Stanly)

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ix months after Ford announced the shutdown of its operations in Indonesia, Ford dealers say the US car manufacturer has not provided certainty about spare parts and after-sales services.

In an official statement released on January 25, Ford Motor Indonesia (FMI) said a third party would be appointed to guarantee the availability of after-sales services and spare parts. All dealers are required to submit proposals for obtaining after-sales service licenses.

"We have submitted the proposal for the services, and asked Ford whether the principal license can be transferred because we are ready," Indonesian Ford Dealer spokesperson Andee Yoestong told thejakartapost.com on Monday in Jakarta.

However, he continued, Ford had yet to appoint any third party for the after-sales and spare parts services although the deadline of the operational shutdown on July 1, 2016 was getting closer.

To prevent further losses due to the uncertainty, the dealers had sent a warning letter to Ford on June 1 which was ignored. "Ford has threatened us back, saying that we will be excluded from the 'beauty contest' if we take any legal action," Andee said.

Prior to the unilateral decision to quit the Indonesian market and leave car owners and dealers in limbo, Ford had restructured its business but still had less than 1 percent of the market with "no reasonable path to sustained profitability.” (ags)

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