Used Car Market Faces Pressure Amid New Car Price Wars, EV Discounts in Focus

📉 Early Signs of Impact

According to Daddy Doxa Manurung, CEO of PT Balai Lelang Serasi (Ibid), the immediate effect has yet to be felt, but it’s only a matter of time before the pressure becomes evident.

“The impact isn’t visible yet, but we’re already preparing for it—it will definitely affect the market,” he told Kompas.com on August 6, 2025.

🚗 EV Price Cuts as a Trigger

Doxa highlighted how EV prices have been dropping aggressively. For example, the BYD Atto1 now starts at just IDR 195 million. Should this downward trend continue over the next few months, used cars in the same price bracket will inevitably face pressure.
He added, “Buyers might simply wait six months to a year and get a new car for under IDR 150 million. Naturally, used car prices would also have to adjust.”

🛠 Vulnerable Segments

The most at-risk segment, Doxa said, includes used cars priced under IDR 200 million, such as LCGC (Low-Cost Green Cars), which currently account for 60–70% of Ibid’s stock.
He estimates potential price drops could range from 10% to 20%, depending on EV market developments and the speed of new car distribution to customers.

📅 A Crucial Second Half of 2025

While the situation remains a forecast, Doxa pointed out that H2 2025 will be critical in determining the real extent of the impact.

“Let’s see in August, September, and October. If sales rise sharply, it could mean dealers or businesses are rushing to offload units before prices drop even further,” he explained.

If you’re planning to buy or sell a used car this year, keep a close eye on EV price trends and new car promotions. These changes could directly influence the resale value of your vehicle—timing your purchase or sale could save you millions.

The price war in the new car market, fueled by aggressive EV discounts, is set to be a defining factor for Indonesia’s used car market in the coming months. Whether the anticipated 10–20% decline materializes will depend on how the market reacts in the crucial months ahead.

Satra Sinar Abadi Group

The used car market may soon experience a fresh wave of pressure as price competition in the new car segment intensifies—particularly in the electric vehicle category. While these discounts are attracting consumer attention, they also raise concerns over the potential depreciation of used car values in certain price ranges.