1. Car makers

2. Incentive

3. Government support

4. Japanese principals

5. Chinese principals

6. Platform

7. New Regulation of LCGC and LEC

8. Existing of LCGC and LEC

9. Production and export

10. Sales

11. Asianusa

12. References

13. External links

Indonesian national car is the categorization of a Low Cost Green Car (LCGC) in Indonesia with the following initial specifications:

• Priced between {{currency|50 million |IDR|first=y}} for villagers to {{currency|85 million|IDR}} for the general public^[1]
• Fuel efficiency of at least {{convert|20|km/l|abbr=on|0}}
• Made up from at least 60% domestic components

Car makers

• PT Industri Kereta Api, GEA brand, 640 cc, Electronic Fuel Injection, Front wheel drive, {{convert|3320||1490||1640|mm|in|abbr=on|1}}, wheelbase {{convert|1965|mm|in|1|abbr=on}}, {{convert|90|km/h|mph|abbr=on|0}}, {{currency|40 million|IDR}} (US$4,444) each, used as police car,^[2][3] Nomor Identifikasi Kendaraan (NIK) or Vehicle Identification Number has been released at May 2007^[4]
• PT Maha Era Motor, Mahator brand, {{convert|650|cc|abbr=on|1}}, {{convert|90|km/h|mph|abbr=on|1}}, {{currency|50 million|IDR|linked=no}} ($5,555) each, NIK has been released at June 2007^[4]
• PT Fin Komodo Teknologi, Fin Komodo brand, 2WD automatic tube-framed buggy, {{convert|250|cc|abbr=on|1}}, {{convert|60|km/h|mph|abbr=on|0}}, {{currency|70 million|IDR|linked=no}} ($7,777) each,^[5] NIK has been released at December 2007^[4]
• PT Sumber Gasindo Jaya, Tawon brand, {{convert|650|cc|abbr=on|1}} twin-cylinder China engine, ready for gasoline and Compressed Natural Gas, Euro-3, 90 percent local content, {{convert|90|km/h|mph|abbr=on|0}}, {{currency|40 million|IDR|linked=no}} ($4,444) to {{currency|60 million|IDR|linked=no}} ($6,666) each in 3 types: open space cargo, minivan and Tawon model which can carry more than 3 persons, it have been tested from Rangkasbitung to Surabaya in 19 hours with maximum speed up to 100 km/h and relaunched in January 2012,^[1][3][6] NIK has been released at June 2008^[4]
• PT KANCIL (Karunia Abadi Niaga Citra Indah Lestari), Kancil (Kendaraan Niaga Cilik Irit Lincah or Little Economical Agile Commercial Vehicle) brand, Kancil is a clever individual model, {{convert|250|cc|abbr=on|1}}, 70 km/h, to propose as replacement of city public transport (below Taxi category)^[3] NIK has been released at October 2009^[4]

Incentive

A group of national car makers who are members of Asosiasi Industri Automotif Nusantara (Asia Nusa) or Nusantara Automotive Industry Association firmly refuse incentives from the government due to their inability to produce the low priced cars.

Government support

The government provided Rp 144 billion ($16 million) fund for village cheap public transportation program in 2012.^[1]

Japanese principals

Toyota, Daihatsu, Suzuki and Honda are set to produce a combined 500,000 LCGC a year with predicted total investment of $1.8 billion in Indonesia by the end of 2012, after the government has agreed to exempt the LCGC from the luxury tax to boost domestic sales.^[7]

On April 22, 2013 PT Astra Daihatsu Motor officially opened Karawang Assembly Plant to anticipate LCGC, although government's LCGC rule is not yet released. The plant assembles 4,000 units Toyota Avanza and/or Daihatsu Xenia per month in the first run and will produce 10,000 unit of cars per month, including the LCGC Toyota Agya and Daihatsu Ayla when the rule has been released.^[8]

Chinese principals

To achieve success with LCGC, two Chinese principals set up manufacturing/assembly plants in Indonesia, both companies (SAIC Motors Corp. and Liuzhou Wuling) formed a new company called SGMW.Wuling, and will cooperate with General Motors to build a 150,000 capacity manufacturing factory first and then use more local contents. It is predicted to operate fully by 2017. Indonesia will be the base of the Chinese principals to fulfill Southeast Asia market of ASEAN Market Community.^[9]

Platform

Indonesia's Industrial Minister and Indonesian Car Producers have agreed to make the Indonesian Micro Car with 650-700 cc capacity with same platform. They are undercarriage (car dimension and suspension) and power train (machine and transmission). With the same platform, the Break Even Point is expected to be 10,000 units/year instead of 28,000 units/year without same platform. Until now Indonesian Car Producers made their cars without this same platform. About 80 percent of Indonesian Micro Car components will be local components and initial production is predicted in 2013.^[10]

New Regulation of LCGC and LEC

In May 2013, government has released new Government Regulation (Peraturan Pemerintah) Number 41 Year 2013 about Luxury Tax of Vehicles concerning LCGC and Low Emission Carbon (LEC) regulations. The main points of the regulation are:^[11]

• Luxury Tax 0 percent of petrol car with maximum displacement 1,200cc (1,500cc for diesel car) and can drive minimal 20 kilometers/liter.
• Luxury Tax 50 percent of advance technology car (hybrid, gas, electric and others) with driving ability minimal 28 kilometers/liter.
• Luxury Tax 75 percent of advance technology car (hybrid, gas, electric and others) with driving ability between 20 and 28 kilometers/liter.

Existing of LCGC and LEC

End of February 2014 Year To Date, all of car sales categories were declining, except city car non-LCGC which was stagnant, but LCGC growth significantly and made 73 percent sales share of city car sales.^[19]

In the first three months of 2014, 43,969 LCGC cars were sold.^[20]

In the first six months of 2014, 85,643 LCGC cars were sold.^[21]

Production and export

In 2013 Indonesia produced 52,956 LCGC/LEC with no export, and predicted 2014 LCGC/LEC production is 150,000 units. Initial export of Daihatsu Ayla (as Toyota Wigo) has been done in February 2014 to Philippines. In 2013, Indonesia has exported non LCGC/LEC 170,907 Completely Built Up (CBU) cars, and 105,380 Completely Knocked Down (CKD) cars.^[22]

Sales

In first seven months of 2014, the LCGC Toyota Agya sold 41,520 units to become the third highest selling car in Indonesia after the Low MPV Toyota Avanza and Low MPV Honda Mobilio.^[23]

Asianusa

Asianusa is pioneer of LCGC which has the members: AG-Tawon, Wakaba, Fin-Komodo, Merapi, Gea, Borneo, Kancil, dan ITM. All the members uses Chinese engine (below 750cc), all of the other contents are locally made.

When government released Government Regulation, Peraturan Pemerintah (PP) Nomor 41 Tahun 2013, Asianusa protest because the regulation is for all vehicles up to 1,200cc and moreover all vehicles with special needs as use for on the snow, on the beach, on the hill and other vehicles with specialities should pay 60 percent tax. It make Fin-Komodo even has higher price than the new LCGC/LEC manufacturers vehicles (currently, all are big Japanese principals).^[24]

References

External links

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