Chinese cars succeed in capturing Indonesia's automotive market

With sleek, cute designs, unique colors, rich specifications and affordable prices, brands such as BYD, Chery and Wuling are increasingly challenging the incumbents of the domestic automotive industry.

Chinese cars succeed in capturing Indonesia's automotive market
A number of visitors watch cars on display at the GAIKINDO Jakarta Auto Week 2025 automotive exhibition at the Indonesia Convention Exhibition (ICE) in Tangerang Regency, Banten, Friday (21/11/2025). (ANTARA FOTO/Muhammad Iqbal/nz)

Chinese-branded cars are a common sight these days in the capital city of Jakarta and its surroundings, showing the appeal of the bamboo curtain vehicles to the automotive market in ASEAN's largest country.

With sleek designs, unique colors, rich specifications and affordable prices, brands such as BYD, Chery and Wuling are increasingly challenging established players such as cars from Japan, Germany and the United States.

This can be seen from the emergence of several new brands in the Gaikindo Jakarta Auto Week (GJAW) 2025 exhibition which took place from November 21-30, 2025 at ICE BSD.

Gaikindo General Secretary Kukuh Kumara said most of the new brands entering the Indonesian market are from China. Some of the brands that made their debut at GJAW 2025 are Changan, Chery X, Vinfast, Jaecoo.

"Hopefully the entry of this new brand in Indonesia can further enliven the automotive market," he told SUAR in Jakarta (11/26/2025).

Although Toyota and Daihatsu still hold the top spot, Chinese brands continue to make breakthroughs.

BYD jumped to sixth place in October 2025 with 30,670 units sold, according to data from the Indonesian Automotive Industry Association (Gaikindo).

Meanwhile, Chery rose to ninth place in October 2025 with 16,720 units sold.

He said the organization of the GJAW was to boost car sales before the close of 2025.

Gaikindo itself is still optimistic that this year's car sales target can touch the 850 thousand unit mark because consumer purchasing power is stable. In addition, the GJAW Exhibition can attract attention because there are many promos offered.

"There has been no revision of the sales target this year, we will see the enthusiasm of the GJAW exhibition," he said.

Based on Gaikindo data, car sales from January to October 2025 reached 635,844 units, still far from the sales target of 850,000 units. However, he is optimistic that the target will be achieved.

Although sales of car brands from China continue to increase, the domestic automotive market is still dominated by car brands from Japan.

BPS data for the third quarter of 2025 showed that the Non-Oil and Gas Processing Industry (NMI) sector grew by 5.58% (YoY), higher than the national economic growth of 5.04%. IPNM also became the largest contributor to economic growth with a contribution of 1.04% and dominated GDP by 17.39%, an increase compared to the previous quarter which amounted to 16.92%.

Globally, the World Bank' s Manufacturing Value Added (MVA) report places Indonesia 13th in the world and first in ASEAN, with an MVA value in 2024 reaching US$ 265.07 billion, far exceeding the global average of US$ 78.73 billion. This position puts Indonesia in line with major industrialized countries such as the UK, Russia and France.

The Director General of ILMATE also highlighted the automotive industry's significant contribution to manufacturing growth. In the third quarter of 2025, this subsector contributed 1.28% to GDP. To date, Indonesia has 39 four-wheeled vehicle manufacturers with a production capacity of 2.39 million units per year, and 82 two- and three-wheeled manufacturers with a capacity of 11.2 million units per year.

"Innovation in the national automotive industry, including the expansion of the use of low-emission vehicles. We hope this event will not only strengthen competitiveness, but also attract new investment in the automotive sector," said Director General of Metal, Machinery, Transportation Equipment and Electronics (ILMATE) Setia Diarta.

Starting to gain market trust

Automotive observer and author of the book The Automotive Industry in Indonesia, Syakur Usman, said that Chinese manufacturers innovate first, especially in creating electric cars or electric vehicles (EV).

"Automatically China can create cars that are more massive than other brands. Whether or not there are incentives from the government, automotive brands, especially from China, will enter," he told SUAR.

In addition, some people's concerns such as limited access to charging or the issue of battery leakage are also not proven. Instead, more innovations are being offered at affordable prices.

"The BYD M6 is offered at Rp300 million. Or Chery Omoda EV, which is still affordable in its segment," he said.

Plus, he said, the upper middle class who often travel to Europe have also seen Chinese brands used in several countries.

"When they return to Indonesia and see a lot of Chinese cars on offer, Chinese cars become more acceptable faster," he said.

Automotive observer I Made Tangkas said product and service innovation is important in the automotive industry, creating products tailored to local market tastes, such as appropriate designs.

"Innovating on cutting-edge technologies, such as the development of electric (EV) and hybrid (HEV) vehicles also drives sales," he told SUAR.

He added that Chinese cars sell well in Indonesia due to more affordable prices and the offering of advanced features and technology that are equal to or even superior to their competitors. In addition, product quality and after-sales service continue to improve, supported by aggressive marketing strategies and the construction of local factories. 

"Chinese cars are often equipped with modern features such as panoramic sunroofs, large touch screens, and driver assistance systems (ADAS), which makes consumers feel they are getting more value," he told SUAR in Jakarta (26/11).

Chinese car brands have invested heavily in product quality and after-sales service, including building local factories and extensive service networks, thus addressing consumer concerns.

New brands and variants

During the Gaikindo event, several new brands and variants were introduced, here are some of them.

Changan Lumin ( SUAR Team SUAR Ahmad Afandi)

Changan

After being officially introduced in Indonesia on November 19, Changan, a global automotive brand from China under Indomobil Group, marks its next important step with its inaugural participation at the Gaikindo Jakarta Auto Week (GJAW) 2025. 

In this event held at the Indonesia Convention Exhibition (ICE) BSD City, Changan launched two of its flagship electric vehicles for the Indonesian market, namely Changan Lumin and Changan Deepal S07.

"Indonesia, one of the most dynamic, innovative and visionary markets in Southeast Asia, has great potential. Therefore, we are taking an important step by introducing the latest innovations to Indonesia through Changan Lumin and Changan Deepal S07," said SEA Sales Department Regional Director of CHANGAN Automobile Henry Huang in a press release in Jakarta.

This uniquely designed and stylish electric vehicle is designed to support the modern urban lifestyle. Equipped with intelligent technology and spacious cabin space behind its compact exterior dimensions, the Changan Lumin offers convenience for daily urban use.

The car is capable of traveling up to 301 km on a single charge and is supported by DC fast charging for ease and efficiency of charging time.

Moving on to the Changan Deepal S07, this e-SUV delivers a different driving experience with its aesthetically pleasing and dynamic techno-sporty looks.

The Changan Deepal S07 offers a range of up to 560 km and is powered by DC fast charging, providing reliability for long-distance travel, as well as powerful performance that remains efficient.

Chery: Jaecoo, Jetour, Lepas

Chery, one of the 13 participating Chinese brands, announced the official price for its latest electric car, the J6T, which is priced at Rp525.5 to Rp585.5 million for the first thousand bookings.

"We will use this GJAW exhibition to maximize market penetration at the end of this year," said Head of Brand and Marketing Department of PT Chery Sales Indonesia, Rifkie Setiawan.

Chery J6 EV ( SUAR Afandi)

Chery also brought three of its sub-brands, Jaecoo, Jetour, and Lepas, to the exhibition. Jaecoo announced an extension of the sales promotion period of the J5 electric car with a special price for up to the first 10,000 customers, in response to high consumer enthusiasm.

Meanwhile, Jetour opened the booking period for its new gasoline-fueled model, the Jetour T2, which is priced at Rp568 million per unit. Lepas announced the pre-booking period for the L8, its first car in Indonesia, which is offered at Rp589 million per unit.

Veloz Hybrid

PT Toyota-Astra Motor (TAM) opened Gaikindo Jakarta Auto Week (GJAW) 2025 with an important momentum for the Indonesian automotive industry, namely the World Premiere of New Veloz Hybrid EV which is locally produced in Indonesia. 

Toyota also officially started sales of the locally produced New bZ4X Battery EV and New Urban Cruiser Battery EV, which were previously introduced at GIIAS 2025. The presence of these three models complements Toyota's expanding electrification lineup, strengthening Toyota's commitment to providing inclusive, sustainable, and relevant mobility solutions for the people of Indonesia. 

"At Toyota, we understand that no single product can fulfill everyone's needs in the same way. With the spirit of "Toyota Ada Untuk Indonesia" we are committed to presenting mobility solutions that suit the needs of every Indonesian," said President Director of PT Toyota-Astra Motor (TAM), Hiroyuki Ueda in a press release received by SUAR in Jakarta (26/11).

Veloz Hybrid ( SUAR Team SUAR Ahmad Afandi)

As the flagship MPV of Indonesian families, the New Veloz Hybrid EV is now entering a new era of electrification. Locally produced, this model combines high fuel efficiency and powerful performance, making it an ideal choice for modern families who want to transition to an eco-friendly vehicle without changing their driving habits. 

At GJAW 2025, Toyota opened indent bookings for the New Veloz Hybrid EV, with a special price of Rp 299 million for the V Grade series, reserved until December 2025. With powerful performance in various terrains, maximum fuel efficiency, and optimal comfort, New Veloz Hybrid EV comes as the most ideal choice for Indonesian families.