T

he economic crisis has dealt a heavy blow to the global automotive industry. Two US automotive giants Chrysler and General Motor filed for bankruptcy, while other automakers posted sharp decreases in sales.

Despite the global economic slowdown, the automotive industry still harbors optimism for the Indonesian market, citing Indonesia's ability to achieve positive economic growth despite the crisis. Cuts in interest rates by the central bank are also expected to encourage banks to provide loans to car buyers.

According to Indonesian Automotive Industry Association (Gaikindo) data, new car sales in Indonesia declined by 28 percent to about 210,000 vehicles in the first half of the year.

PT Toyota Astra Motor (TAM) Indonesia president director Johnny Darmawan said that Toyota is optimistic that its sales in Indonesia will increase this year. "During a meeting of all Toyota offices, only PT TAM Indonesia was asked to increase its sales," he said at the launch of the Toyota Yaris recently.

Despite the fact that car prices have increased over the past few months, carmakers are optimistic that people will still buy cars despite the crisis and have launched new products,

Luxury cars are also faring fairly well, so don't be surprised if you see new showrooms displaying expensive luxury cars, like Lamborgini on Jl. TB. Simatupang. The dealer is optimistic it can sell 12 cars in 2009. The Lamborghini LP560-4 is priced at US$586,000, while the Lamborghini Murcielago LP 640, which appeared in the Dark Knight movie, carries a price tag of $640,000.

"I must say that Indonesia offers a lot of potential for Lamborghini and we feel optimistic that we can sell at least 12 cars this year," said Lamborghini Jakarta chief operations officer Endy Kusumo. Due to its high price, the sales target appears reasonable.

PT EuroSport Auto opened a Lotus showroom in Jakarta in May, presenting people with more sports car choices. The presence of the famous British made Lotus is further proof that Indonesia's sports car market is promising.

Lexus Indonesia launched the luxury crossover RX350 on March 11, at Gallery Lexus, Jakarta, using the promotional tagline "Pursuit of Perfection".

PT Garuda Mataram Motor, the sole Audi agent in Indonesia, launched the Audi A5 on April 2 at the Audi Center, Jl. MT Haryono, Jakarta. The Audi A5 was initially introduced at the Indonesia International Motor Show 2008. The Rp1.45 billion car is rightly categorized as a luxury car and its sales are predicted to be unaffected by the ongoing crisis.

The firm also launched Audi Q5 recently. The car has won the prestigious Euro Car Body Award.

Audi Indonesia general manager Imelda Muhidin said Audi knew how to satisfy its customers by fulfilling their lifestyle needs, because the car was a reflection of the owner.

BMW Indonesia does not want to be left behind. Three months before the launch of the Audi A5, in January 2009, PT BMW Indonesia released two of its premium variants, namely the BMW 750 Li with a price tag of Rp 2.599 billion and the BMW 740 Li prices at 2.120 billion.

The BMW 7 series was first unveiled in October 2008 at the Paris Motor Show. It is the fifth generation since its introduction in 1977

"We launched our BMW 7 series to meet market demand, because we saw there was an opportunity for luxury products," explained BMW Indonesia corporate communication director Helena Abidin.

This month, the firm also launched the new BMW Z4 Roadster, a classic roadster with a modern, stylish contemporary design.

The BMW 7 series is expected to improve BMW's 2009 sales in Indonesia, as last year was not a bright year for BMW with only 720 cars sold, a drop of 28 percent.

The BMW 3 series gave the largest contribution to sales with 400 cars sold (56 percent), while the 5 series provided a contribution of 21 percent with total sales of 140 cars. The SUV X5 made a contribution of 18 percent with 127 cars.

Mercedes-Benz Indonesia has also made a breakthrough in the luxury car market. For the first time in its history the manufacturer introduced Airmatic Suspension technology incorporated in its E-Class Edition 9, which is available in Indonesia in a limited number.

After a six-year presence in Indonesia with the E-Class type W211, Mercedes-Benz has introduced its latest version, the E-Class Edition 9, which is equipped with Airmatic Dual Control and Semi-active Air Suspension that keeps the level of the E-Class constant no matter what condition the road is or at what sped the car is being driven.

The E-Class type W211 has been a stable leader of the premium segment here in Indonesia, with a 65 percent market share, which increased to 74 percent as per February.

Mercedes-Benz Indonesia is optimistic it can sell 2,050 vehicles in 2009, 13 percent fewer than last year's 2,424 units.

"We are sure that in 2009 our sales can reach 2,050 units. We will also introduce our latest products to meet market demand, which we fully understand," said PT Mercedes-Benz Indonesia president director Rudi Borgenheimer.