TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Motorcycle sales drop 4.5 percent this May amid weak purchasing power
The Motorcycle Industry Association (AISI) is considering revising this year's sales target if monthly sales drop below 500,000 units.
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
Workers load a motorcycle onto a train on April 3, 2024, at Jakarta Gudang Station. The Transportation Ministry provided free shipment for 12,180 motorbikes ahead of the Idul Fitri holiday from April 2-8 and after the holiday from April 13-19. (Antara/Aprillio Akbar)
I
ndonesia saw motorcycle sales decline by 4.54 percent year-on-year (yoy) this May, which manufacturers warned indicated weakened purchasing power.
Domestic motorcycle sales dropped to 505,670 units this May, from 529,771 units in the same period of last year, according to Motorcycle Industry Association (AISI) data.
Sales during the first five months of this year also declined by 1.78 percent yoy to 2.69 million units, from the same period of last year, when 2.7 million units were sold.
AISI’s commercial affairs head Sigit Kumala said on Monday that aside from declining purchasing power, financial institutions have been stricter in disbursing loans, especially regarding applications with poor credit history.
In order to maintain sales, he urged the government to control inflation and interest rates, which are both tied to purchasing power.
“If in June or July monthly sales go down to below 500,000 units, then it is a sign. We may revise [the annual target] if there is no improvement [in sales],” Sigit said, as quoted from Bisnis.
Read also: New car financing surges despite lower automobile sales in Q1 2024
