Domestic Car Sales Increased to 84,113 Units in September 2021

The Indonesian Automotive Industry Association (Gaikindo) recorded domestic car sales of 84,113 units in September 2021. This figure represents a slight increase of 0.95% compared to the previous month's 83,319 units.

Compared to the same period last year, domestic car sales increased by 73.24% in September 2021. Domestic car sales in September 2020 were recorded at 48,554 units.

Cumulatively, domestic car sales reached 627,537 units from January to September 2021. This is a 68.7% increase compared to the same period the previous year, which totaled 372,048 units. This figure even surpasses the total sales for the entire previous year, which reached 532,407 units.

The continuous improvement in domestic car sales performance is partly driven by the government's policy of a 100% discount on the luxury goods sales tax (PPnBM) for cars with an engine capacity of 1,500 cc. This policy initially applied only from March to August 2021.

However, the government extended the 100% PPnBM discount until the end of the year. Meanwhile, a 50% PPnBM discount for cars with engine capacities of 1,500-2,500 cc is in effect until December 2021.

In addition, Bank Indonesia (BI) has eased regulations on down payments for car purchases. Since March 2021, the down payment for motor vehicle loans has been set at 0%.