Exports and PPnBm Incentives Spearhead Automotive Sector Recovery

car marketplace
Summary

The government officially exempts sales tax on luxury goods (PPnBM) for new cars starting early March 2021. So far, the PPnBM rate for new cars starts from 10 percent or. There are at least 13 types of new cars that would see their price cut. Apart from the sales tax incentive on luxury goods (PPnBM) for new vehicles, the government will increase car exports to recover the national economy.

Minister of Trade Muhammad Lutfi said that his ministry is lobbying Japan's car manufacturers to allocate Indonesian cars for export to the Australian market. Exports are expected to reduce accumulated stock. "What we are afraid of is that Japanese automotive companies, for reasons of efficiency, could close their factories in Indonesia," said Lutfi.

Register now and get free access.

If you want to get free access to our Daily Insights and Weekly Digest, please click "Sign up" button below. If you already have an account, please login.

What do subscribers receive?

As a subscriber, you'll receive daily insights, weekly business digests, and quarterly industrial reports.

What kind of pieces will i get?

In-depth reports on assumption and impact analysis, as well as update and trends mapping, written by our credible and experienced analysts.

And, there is something else…

Register now and get free access, click here to register. Feel free to contact us with any additional questions you have.