Makassar (Antara Bali) - The national car sales is projected to increase 5-10 percent to 1,2 million in 2013 as demand for inexpensive cars is expected to rise regardless of sluggish economic growth prediction.
"The Indonesian car market is still growing, though only 5-10 percent, as the economic growth is estimated to slow down due to European debt crisis," Johnny Darmawan of the Indonesian Automotive Industry Association (Gaikindo) said here on Sunday.
Johnny said some major countries in Asia such as China will maintain their economic growth at one digit, while India is projected to hit 5,1 percent. On the other hand, Indonesia's is estimated to grow above six percent.
"The national car market is still growing triggered by the emergence of inexpensive cars which aims at new users, who are motorcycles owners and want to buy cars," Johnny said.
The national car market would even be more flourished if the government grants incentives to Low Cost and Green Car production, Johnny said.
The national production capacity would increase 1,2 to 1,3 million, although it is not as high as the 20 percent growth predicted in 2012. After all, some new car factories will begin their operations such as those of Daihatsu, Toyota and Suzuki, Johnny said.(IGT)
