New car sales in Indonesia rose 12.0% year-on-year to 77,550 units in June 2026, easing from a 14.0% increase in May but still marking the third straight month of growth. Data from the Association of Indonesian Automotive Industries (Gaikindo) show that sales in the first half of the year climbed 15.9% from a year earlier to 436,564 units, underscoring the resilience of consumer demand despite inflationary pressures and higher prices for non-subsidized fuel.
Market sentiment is expected to gain additional support from a series of upcoming major automotive events. However, industry players remain cautious as macroeconomic headwinds persist. Elevated borrowing costs continue to restrain demand for vehicle financing, which remains the primary purchase channel for most Indonesian consumers. At the same time, the weak rupiah is driving up the cost of imported components and raw materials, putting upward pressure on production expenses and vehicle prices.
Meanwhile, retail new car sales jumped 19.6% year-on-year to 74,507 units.
