Gaikindo Bets on GJAW 2025 to Reverse Auto Sales Slump
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JAKARTA, Investortrust.id — The Association of Indonesian Automotive Industries, or Gaikindo, aims to lift national auto sales toward 800,000 units on Friday, Nov 21, 2025 in Jakarta as the Gaikindo Jakarta Auto Week opens during a year marked by weak demand and shrinking wholesales. The association banks on aggressive year end promotions, broader exhibitor participation, and improving consumer sentiment to reverse a 2025 downturn that weighs on every major segment.
Gaikindo noted the national automotive industry association said sales had fallen sharply throughout the year as wholesales through October dropped 10.6 percent year on year to 635,844 units while retail sales fell 9.6 percent to 660,659 units. That trend put this year annual sales on course for their weakest performance since 2020, according to Datatrust analysis.
Chairman Putu Juli Ardika stressed that the exhibition is meant to stimulate demand during the final sales window of the year. “We are working very hard and we hope this exhibition is truly supported with affordable prices and many programs that help consumers secure a vehicle at year end,” he said.
Putu reiterated that Gaikindo still sought to approach 800,000 units even if the number sits below last year’s result of 865,000 units. “We are still optimistic but at least we can reach close to 800000. Even if it is lower than last year it will not be far,” he said.
Putu noted the presence of strong sales programs including an indoor EV test drive designed to boost transactions across both conventional and electric models. “We hope these programs will create massive sales momentum and become an important driver for the national automotive industry’s performance as we close 2025,” he said.
The Ministry of Industry underscored the sector’s macroeconomic weight as manufacturing grew 5.58 percent in the third quarter of 2025 outperforming national GDP growth of 5.04 percent.
Director General for Metal Machinery Transport Equipment and Electronics Setyadi Arka emphasised the industry’s contribution at 1.28 percent of GDP and output of 852000 four wheel vehicles through September of which nearly 45 percent were exported.
He said Indonesia remained a strategic production base with an installed capacity of 2.39 million four wheel vehicles per year and rising investment in electrification. “Indonesia’s position in the balanced performance group reflects a strong and stable industrial base,” he said.
Setyadi highlighted a growing EV ecosystem backed by Rp 5.7 trillion in investment and a battery electric vehicle production capacity of 110660 units per year.
Gaikindo said the downturn in 2025 stemmed largely from weaker household purchasing power as slower national growth dampened spending on durable goods.
The low cost green car segment suffered the deepest hit as LCGC sales from January to September reached only 94312 units dropping more than 30 percent year on year with June recording the steepest decline of 45.58 percent.
Putu said the industry still saw room for recovery next year as purchasing power stabilises and industrial activity strengthens. “We are optimistic the automotive market will improve along with the recovery in consumer spending and rising industrial activity,” he said.