FX.co ★ Indonesia Car Sales Plunge 15.1% YoY in May

Car sales in Indonesia experienced a significant year-over-year decline of 15.1% in May 2025, with total sales amounting to 60,613 units, as reported by the Association of Indonesian Automotive Industries (GAIKINDO). This drop comes after a 5% increase in the previous month. GAIKINDO Chairman Jongkie Sugiarto attributed the downturn to weak purchasing power and stagnant economic growth. Despite these challenges, GAIKINDO has set a positive car sales target for 2025, aiming for sales figures between 750,000 and 900,000 units. This optimistic projection surpasses both the adjusted 2024 estimate of 850,000 units and the 865,723 units sold in the preceding year. However, on a month-to-month basis, May 2025 saw an 18.4% rise in car sales, recovering from a steep 27.8% decline in the prior month. Over the first five months of the year, cumulative car sales reached 316,981 units, marking a 5% decrease from the same period in the previous year.