Indonesia’s Automotive Market Faces Continued Pressure in May 2025

Despite an overall market slowdown, key players such as Toyota and emerging Chinese brands are showing notable growth in Indonesia’s automotive industry this May.

MARKET TALK

6/12/20251 min read

time-lapse photography of city buildings
time-lapse photography of city buildings

The nation’s total wholesale car sales (from manufacturers to dealers) in May reached 60,613 units, representing a significant 15.1% year-on-year (YoY) decline from 71,391 units in May 2024.

Similarly, retail sales (from dealers to consumers) also reflected this downward trend, totaling 61,339 units, which also marks a 15.1% YoY drop.

Amidst this market contraction, Toyota strengthened its leadership position, posting impressive monthly growth. The brand sold 20,995 units in May, marking a 30.6% increase compared to April 2025.

Daihatsu secured the second position with 11,166 units, achieving a 25.7% month-on-month (MoM) growth.

In a notable shift, Mitsubishi Motors climbed to the third spot with 4,756 units, surpassing both Suzuki (3,921 units) and Honda (3,166 units). Meanwhile, Chinese automotive brands continued to gain momentum in Indonesia’s market:

  • BYD delivered 2,799 units,

  • Chery sold 1,993 units,

  • Wuling recorded 1,566 units.

Their strong performance highlights the growing consumer interest in competitively priced and technologically advanced vehicles from China.

For businesses and investors, these market dynamics underscore the importance of closely monitoring consumer trends and emerging players in Indonesia’s automotive space. Staying informed and agile will be key to navigating this evolving sector.

As the Indonesian automotive market adjusts to current economic conditions, leading brands are leveraging innovation and strategic positioning to maintain — and even grow — their market share. The coming months will be crucial in determining how the industry reshapes its trajectory amidst these headwinds.

Satra Sinar Abadi Group

Indonesia’s automotive industry continues to navigate a challenging landscape as of May 2025. According to the latest figures released by the Association of Indonesian Automotive Industries (Gaikindo), the market recorded another month of contraction — a sign of the broader economic pressures facing consumer sectors.