Indonesia is the 15th largest country in the world with its 1.9 million km2. In terms of Population it is 4th with over 245 million people. It is a young, fast, smart country, the 16th as GDP ( $ 1.121 trillion in 2011) still in phase of development, as confirmed by the low level of pro capita income (at $ 4.200) or by the low number of Internet Users (only 8 pct. of the population). Annual GDP rate was 4.6, 6.1 and 6.4 respectively for 2009, 2010 and 2011, while unemployment index is declining from 7.9 (2009) to 6.7 (2011). Last year the National Budget was in deficit (-1.2%), but Public Debt remains low, around 25% of GDP. Inflation is moderately high (5.7% in 2011) while Interest rate are high (Commercial bank prime lending rate at 12.2% at the end of 2011). Indonesia is a member of ASEAN economic association.
Automotive Industry in this country, circulating vehicles are normally with only two wheels (52 million motorbikes were circulating at the end of 2009) and with low displacement. However, car industry is growing fast, at an average rate of 20 pct. during last 5 years achieving its all-time record volume year after year. The 2011 closed at 773.000 light passenger vehicles registered , confirming the country 2nd place inside ASEAN region and the 20th at global level.
Following the record sales posted in the 2012, Indonesian car market continued to advance in first quarter 2013, when sales were up 19.1% from last year, projecting again a new record. Toyota and Daihatsu kept the half of total sales.
In October, the Indonesian car market rose 36% year-on-year posting the 9th increase in a row. Year-to-date sales were up 22.8% from last year. In October Indonesia outpaced Mexico as 15th world's car market.
The Indonesian car industry momentum continued in July with 90.405 units sold, up 18.6% from last year. The year-to-date sales in July were 551.000, up 26.1% from last year. Now the full year 2012 is projected at the new all-time record.
Indonesia car industry confirmed in March the positive trend, with 75.763 registrations, up 8.8 on last year. However the new Government eco-policy and plan to reduce excessive borrowing risk having a severe effect over next months consumer demand. The first quarter 2012 closed with 213.167 light passenger vehicles sold, up 10.4 on last year.
The circulating car park was only 20 million units at the end of 2009, with a person/car ratio of 12.66 still very low (in developed markets this index is at 1.5/2.0) projecting the market with a potential growth for next 20 years, as the pro capita income will growth.