Meanwhile, the premium automobile market in Indonesia is definitely rather small. Only about 1 percent of total car sales in Indonesia involve premium brands similar to Mercedes-Benz and BMW. The government set a number of terms and situations for the manufacturing of LCGCs. For example, gas consumption is required to be set no less than 20 kilometers per liter while the automotive should consist – for 85 % – of regionally manufactured parts . In exchange, the LCGCs are exempted from luxury goods tax, which permits producers and retailers to set cheaper prices. Volvo Group and Eicher Motors has a 50-50% joint venture known as VE Commercial Vehicles.
- The Automotive Business School of Canada was created by the business, for the industry.
- The variety of electric and hybrid electrical autos on the street is also set to grow at a fast price.
- In the identical period, Indonesian automobile sales climbed