Used Truck Import Overruns Domestic Market
30 October 2014 15:22 WIB
TEMPO.CO, Surabaya – The Indonesian Automotive Industry Association (Gaikindo) lamented on the fact that 50 percent of the domestic truck market are dominated by the import of used trucks. "This is clearly detrimental, especially to investors," Gaikindo senior advisor Freddy A. Soetrisno said when attending an auto exhibition in Surabaya yesterday.
In the span of 2000-2006, 44,000 trucks were estimated to have been imported. According to Freddy, on December 29, 2006 the import of used trucks has been stopped by Marie Elka Pangestu, who was then Trade Minister.
"But there are those who still do it, with approximately 2,000 trucks entering the domestic market every year," Freddy said.
The illegal import is done by general importers, he said. As of 2014, the estimated number of used trucks imported reached 50,000 units.
Zaldy Mashita, chairman of the Indonesian Logistics Association, admits that local logistics companies prefer importing used trucks than buying locally-made ones because of the extremely low price. "Often companies can save up to more than 50 percent," he told Tempo yesterday.
ARTIKA RACHMU FARMITA (SURABAYA) | KHAIRUL ANAM
