Despite PPnBM Cuts, Domestic Car Sales Plunged 30.5% in May 2021

The Indonesian Automotive Industry Association (Gaikindo) recorded domestic car sales of 54,815 units in May 2021. This figure plummeted 30.5% compared to the previous month, which reached 78,908 units.

This sales decline occurred despite a 100% discount on the luxury goods sales tax (PPnBM) for new car purchases. According to Gaikindo, this was due to the long holiday period during Ramadan and Eid al-Fitr, which shortened operational sales days.

Although monthly sales decreased, Gaikindo recorded a year-on-year increase in car sales of 1,444% in May 2021. This significant surge is noteworthy considering that car sales in May 2020 were only 3,551 units due to large-scale social restrictions (PSBB) in several regions.

Total domestic car sales reached 320,749 units from January to May 2021. This represents a 29.17% increase from the same period last year, which totaled 248,309 units.

Toyota remained the best-selling car brand in May 2021, with 18,170 units sold. It was followed by Mitsubishi and Daihatsu, which sold 8,437 units and 8,310 units, respectively.

From January to May 2021, Toyota also had the highest sales, reaching 98,906 units. Daihatsu was in second place with 59,346 units sold, while Mitsubishi sold 41,144 units.