Automotive
Per 18 June 2015, those Indonesian consumers who use a loan from a financial establishment to purchase a passenger automobile must pay a minimal down fee of 25 percent . The minimum down payment for commercial automobiles remained at 20 p.c. It is estimated that round sixty five p.c of all automotive purchases in Indonesia are made by way of a loan.
This is a real missed opportunity in terms of export performance as a end result of about eighty p.c of the world’s drivers use a sedan vehicle. The key purpose why Indonesia has not developed a sedan industry is because the government’s tax system does not encourage the production and export of the sedan car. The luxurious goods tax on the sedan is 30 %, whereas the tax on the MPV is set at 10 %. This causes the excessive sedan price and to have the ability to encourage demand for the sedan its worth must turn out to be more aggressive. Although the relatively new low-cost green car has gained popularity in Indonesia , most Indonesians nonetheless favor to buy the multipurpose vehicle .
Also the low sport utility car has gained recognition in Indonesia. However, …