May 10 11:30

Car sales in Indonesia plunge more than 50%

Jakarta (Antara News) - Car sales dropped from 26,837 units in March to 22,578 units in April, the lowest monthly sales so far this year and less than 50% of sales in the same month last year.

Slump hit the car market in the country following the 100% hikes in the prices of oil fuels in October, last year.

Based on figures at the Association of Motor Vehicle Industry (Gaikondo) show car sales dropped from 26,622 nits in January to 25,957 units in February. In March sales rose slightly to 26,837 units before plunging to 22,578 units in April.

The Bisnis Indonesia daily quoted an automaker as saying tthat with the market continuing in the doldrums in the first four months of this year he was pessimistic that the market will improve in the second quarter of this year.

A number of macro economic indicators did not support earlier optimistic predictions about car market, the automaker said citing the soaring prices of crude oil, still high interest rates and the threat of scarcity in the supply of fuels.

Car sales in the country totaled only 79,414 units in the first quarter of this year or down 44.8% from 143,963 units in he same period last year. (*)
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