Indonesian Motorcycles Industry moderately down in 2024. Total sales in the first half have been 3.2 million, a mere 0.9% decline. Yadea starts local production.
Indonesian Motorcycles Industry Trend and Perspectives
Indonesia is targeting 5.2% economic growth in 2024, potentially driven by consumption and investment, as highlighted in PwC Indonesia’s latest Economic Update. The report presents mixed sentiments in both the global and Indonesian economies.
Indonesia targets a 5.2% economic growth rate in 2024, despite challenges such as declining commodity prices and economic conditions in China, the key trade partner of Indonesia. Domestic consumption, which accounted for 57% of Indonesia’s GDP in 2023, is expected to remain as the main contributor in achieving this target especially after factoring in an 8% pay rise for 3.7 million civil servants as well as increased spending for election related activities.
The Indonesian Motorcycles market – the third largest in the World – kept the recovery pathway during the 2023 with a really impressive data, considering the unusual growth for a so large market.
In recent years the market has been always far from the highest levels reached over a decade ago (near 8 million annual sales) and the potential is well above the 2022 5.4 million.
In 2024 the market has obviously reduced the speed and after ending the first quarter down 3.9 from the corresponding period last year, total sales in the first half have been 3.2 million, a mere 0.9% decline.
The growth is driven by the smaller segment, the motorcycle, up 0.7%, while scooter segment lost 1.0%.
While still in its infancy, the electric segment is fast growing, with L1 category (equivalent to below 50 cc) up 194% and the L3 segment up 93%.
Looking at the competitive arena, the market leader in the annual data is Honda with sales down 4.8%.
In second place there is Yamaha (+10.2%) ahead of Piaggio (-11.6%) and Kawasaki (+1.7%).
The EV start up, Uwinfly, jumped in 5th place with sales up 129%, doing better than Suzuki.
In these days, the Chinese Giant and EV leader Yadea, announced a huge investment to produce electric scooter and motorcycles in Indonesia.
The inaugural vehicle delivery ceremony, held on March 14th, 2024, in Cikarang, Bekasi, Indonesia, marked a monumental milestone for Yadea’s expansion efforts in the Southeast Asian region.
Situated in Bekasi, West Java Province, the Yadea Indonesia production base encompasses a sprawling area of 28,000 square meters, boasting state-of-the-art facilities and cutting-edge technologies. With an impressive annual production capacity of 300,000 units.
