Indonesian Vehicles Market contracted in 2024, falling 14% after previously recovering from dips in 2021-22. All Top 10 brands fell in year-on-year volume, with Honda (-31.8%) and Hyundai (-37%) reporting the weakest performances.
Market Trend and Outlook
Indonesia’s GDP growth is projected at 5.1% in 2024 and 5.2% in 2025, driven by robust domestic demand, particularly private consumption and rising investment. Inflation is expected to remain low, around 2.3%, well within the central bank’s target range. Monetary policy will ease further in 2025, with the policy rate projected to stabilize at 5% by year-end. Fiscal policy remains mildly expansionary, with the deficit increasing to 2.7% of GDP in 2024, driven by higher spending on subsidies and social programs.
Domestic demand is the primary growth engine, supported by improved business confidence and government initiatives, despite weaker export prospects. The trade surplus is narrowing as imports rise and commodity prices stabilize. Structural reforms are necessary to boost productivity, reduce labour market informality, and attract foreign investment. Expanding renewable energy, improving education, and fostering the green and digital transitions are priorities to sustain long-term growth and achieve Indonesia’s 2045 high-income target.
Despite a contracting market, EV sales skyrocketed 113.4% in 2024, supported by a network of government incentives. Still, with EVs making up just 4.5% of total car sales, the segment remains in its early stages.
BYD led the charge, jumping 11 spots in the rankings with standout growth, while MG and Chery also made strong gains. Meanwhile, Hyundai stumbled in the EV race as well, with sales dropping 80.1%.
In spite of the positive economic outlook, the Indonesian vehicle market continued their downward trend in 2024. With 864,543 sales, down 14%, it posted losses well above expectations.
Looking at cumulative data up to December 2024 brand-wise, the leader was still Toyota with 262,089 sales (-13.6%), followed by Daihatsu with 149,375 (-14.7%), Honda with 86,843 sales (-33.4%) and Mitsubishi -up 1 spot- with 65,285 sales (-9%).
Suzuki -down 1 spot- ranked in 60,089 sales (-18.4%), followed by Mitsubishi Fuso -up 1 spot- at 20,514 units sold (-37.1%).
Isuzu -up 1 spot- ranked in 7th with 18,652 sales (-2.7%), in front of Hino -up 1 spot- at 13,866, Hyundai -down 3 spots- in 9th at 9,413 registrations (-21.6%) and Wuling closing the Top 10 with 7,466 sales (+102.9%).
Looking at specific models, reported in the dedicated article, the Toyota Kijang became the new best seller despite decreasing 4.2% year-on-year, followed by the Toyota Avanza who decreased by 10.3%.
Medium-Term Market Trend
Fueled by growing demand, with raising population and GDP increase above the average, the light vehicles market in Indonesia was growing steady up to reaching the all-time record in 2017 with 1.14 million sales, confirmed in the following year.
A 5 percent decline in 2019 was natural after the rapid growth, but the covid 19 arrival in 2020, caused a huge fall with the market plummet at 582.298, due to plants shutdown and distribution disruption.
In the following three years the market recovered and in 2023 reached again the over 1 million level.
Tables with sales figures
In the tables below we report sales for all Brands, top 10 Manufacturers Group and top 10 Models.
