Jakarta, huutoanland Indonesia
–
The largest car manufacturer in Indonesia, Astra Daihatsu Motor (
ADM
), said that it is experiencing a decline in production this year.Economic pressure is one of the factors this happens.
Based on data from the Indonesian Automotive Industry Association (Gaikindo), car production in the Daihatsu factory in January-July 2025 dropped around 24 percent than the same period last year, from 99,464 units to 74,762 units.
Sri Agung Handayani, Director of Marketing and Planning & Communication ADM, explained the receding of domestic sales is the main cause of production.
“The total production is indeed the largest decrease in domestic because 70 percent domestic 30 percent for exports. And exports rose 3 percent, (but domestic sales) dropped 12 percent,” Agung said in Jakarta last weekend.
At present ADM has six factories in the country and various other facilities such as R&D Center, Service Part Center, Vehicle Logistics Center and Head Office.The total production capacity of ADM has now reached 530 thousand units per year.
This volume makes Daihatsu a car manufacturer with the largest production capacity in Indonesia, both for the model itself and Toyota.
The ADM factory is also supported by 1,700 local suppliers, 700 MSMEs, so that the use of local components has been above 80 percent.As of last Friday, ADM factory production has penetrated 9 million units since 1978.
Especially for the domestic market, Daihatsu is still consistent in producing and selling cars with a price range below Rp300 million.
Agung said the reason for the sale of new cars fell which then had an impact on production in the factory was none other than the weakening of the purchasing power of the people of the country due to economic pressure.He also said the current situation was quite challenging.
“The vehicles we produce are LCGC, Pick Up Low and Medium both produced (for) Daihatsu brands and other brands. That is a decline because the Indonesian economy is challange,” he said.
(Ryh/Fea)
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