JAKARTA. One by one, global automotive companies moved out from Indonesia. After Ford Motor in June 2016, last week Mazda announced to leave Indonesia.

Senior Marketing Manager of PT Mazda Motor Indonesia Astrid Ariani Wijana said that Mazda has appointed third party PT Eurokars Motor Indonesia to continue the business of Mazda Motor in Indonesia. “It will not change Mazda existence in Indonesia”, Astrid told KONTAN on Friday (14/10).

Ford and Mazda decided to move out from Indonesia after becoming less competitive against other automotive industries. Analyst at Asia Now Simon Littlewood lately told BBC that an automotive industry has a potential market in Indonesia as long as the company has its own assembling factory in the country.

Secretary General of Ministry of Industry Syarif Hidayat said, automotive industry, which does not have local assembling factory, will be struggling to compete in Indonesia’s market. “Ford did not have the factory, neither did Mazda”, Syarif told KONTAN on Sunday (16/10).

The Mazda exit from Indonesia will not bring negative impacts to local industrial environment, since the company did not have factory in Indonesia. This situation is different with the General Motors Indonesia’ factories shutdown in 2015 that once had distracted local automotive industry.

Not only Ford and Mazda, other automotive industries, which do not have local factory, will face the similar risks. In this case, the import cars will be struggling to compete with local assembled cars, which received incentives from government.

An automotive industry should have local production basis in order to enjoy Indonesia’s market. Toyota, Daihatsu, and Datsun are the examples of automotive industries that have local production basis and significant market shares in Indonesia. Aside of factory, an automotive industry should have to manage marketing networks, as well as the networks with financial services and spare parts suppliers in order to secure Indonesia’s market shares.

President Commissioner of PT Indomobil Sukses International Tbk Subronto Laras said that the Mazda exit from Indonesia was caused not only by the deteriorating busineess environment in Indonesia, but also by the high import duty for imported cars.

The IV Chairman of the Association Automotive Manufacturers (Gaikindo) Rizwan Alamsjah regretted to hear the decision. “But it’s Mazda rights (to make the decision)”, said Ridwan.

Meanwhile, Executive Chairman of Indonesian Consumer Foundation (YLKI) reminded Mazda to respect its consumers’ rights. The Mazda exit from Indonesia has potentials to violate consumers rights. Tulus added that Mazda has to make socialization related to its decision, including about the future after sales services.

(Muhammad Farid/Translator)

Cek Berita dan Artikel yang lain di Google News

Editor: Barratut Taqiyyah Rafie