The automotive industry in Indonesia is experiencing rapid growth in 2017. The country targeting the car production will increase to 1.5 million units in 2020. Last year, Indonesia’s cars rose up to 13-fold, from 6.2 million pieces in 2016 to 81 million unit in 2017. The minister Airlangga Hartarto explained, most of these exports consist of the completely knocked down (CKD) products while the completely built up (CBU) export increase from 194,000 in 2016 to 231,000 pieces in 2017.
Indonesia has not an issue to boost automotive export capacity due to the sufficient production of a local automotive industry that reached 2,20 million units annually in 2017. Indonesia’s car production capacity jumped 70% over the past six years.
