JAKARTA – Japanese automakers showcased their low-cost, environment-friendly cars at the 21st Indonesia International Motor Show that opened Thursday in Jakarta, hoping to capitalize on new tax exemptions for “green” vehicles.
The luxury tax exemption, which is expected to boost sales of Japanese carmakers in the Indonesian market, applies to locally assembled vehicles with engines smaller than 1200cc and a minimum fuel consumption of 20 kpl.
Toyota Motor Corp. and Daihatsu Motor Corp., which have set up joint ventures with PT Astra International Tbk to produce environmentally friendly cars in Indonesia, unveiled the Toyota Agya and Daihatsu Ayla, which range in price from 76 million to 120 million rupiah (about ¥690,000 to ¥1.09 million).
Among other low-cost green cars featured at the auto show, Nissan Motor Co. took the wraps off the Datsun Go+ five-seater and seven-seater models, which both come with 1200cc engines and will be assembled at its plant in Purwakarta, 80 km southeast of Jakarta. The two models will sell for less than 100 million rupiah (¥900,000).
Honda Motor Co. showed off the Brio Satya, with an engine capacity of 1200cc, while Suzuki Motor Corp. unveiled the Karimun Wagon R, with a 1000cc engine, which will be assembled at a plant in Cikarang, in the suburbs of Jakarta.
The auto show, which claims to be the largest of its kind in Southeast Asia, runs until Sept. 29.
In 2012, total car sales in Indonesia hit an all-time high of 1.12 million units, according to data of the Association of Indonesian Automotive Manufacturers.
Suzuki plans Jakarta plant
Suzuki Motor Corp. said it will build an auto assembly plant in Jakarta’s suburbs that will begin turning out vehicles in January 2015.
The new facility, announced Thursday, will start by producing the Ertiga multipurpose model and begin manufacture of the Wagon R passenger vehicle at a later date, Suzuki Motor said.
The assembly plant, as well as a new engine factory, will be established on a 1.3 million-sq.-meter site. The total cost to build the two plants, including the cost of the land, will come to ¥93 billion, the automaker said.