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Jeep goes bankrupt in China, so it sells in Indonesia

Jakarta

Jeep was hit by bad news in China, the joint venture of Stellantis and Guangzhou Automobile Group (GAC) filed for bankruptcy due to declining sales. How are the conditions on the Jeep market in Indonesia?

Jeep in Indonesia had changed distributor. Having previously been owned by PT Hascar, now the brand, which has become an icon of off-road vehicle products, is marketed in Indonesia by DAS Indonesia Motor.

DAS Indonesia Motor officially won the trust of Fiat Chrysler Automobiles to market Jeep products from June 1, 2020, then started selling from 2021. Dhani Yahya, Chief Operating Officer of DAS Indonesia Motor said the Jeep market in Indonesia is still growing, not only in terms of demand, but also expansion of the after-sales network.

“So the market has grown from (sales orders) 250 (2021) now to 400 units and this year the demand is around 400-500 units,” said Dhani Yahya when contacted by detikcom on Tuesday (1 / 11/2022).

It’s just that Dhani said it wasn’t optimal to send the units into the hands of consumers. In addition to the share, Jeep is also affected by the price due to the chip crisis, inflation and weakening exchange rates. Last year, Jeep sent 173 cars to Indonesian consumers.

“Actually, the sales order is the same as our target in the 250 years of last year. Just because of the reduced semiconductor supply that was only shipped in 173 units. So there are about 100 units that we report this. From demand “Our supply is still lower than demand,” said Dhany.

“The year 2022 has grown quite well, from around 250-270 units. We now have sales orders of 400 units, which can be shipped by the end of this year maybe around 190-200 units. So there are 200 units that we will be shipping in 2020. forward, “he added.

“Growth is positive even if it is disturbed in terms of prices, due to the decline in the rupee and inflation in America, so there must also be an increase in prices this year and for model year 2023. However, the interest and also Jeep lovers are quite good, “he added.

As for dealer growth, Jeep aims to build around 8 new locations in Indonesia by 2023.

“The growth of our dealer network, initially in 2020 there were only two dealers in Jakarta, in 2021 we will have an addition in Surabaya, then we will add another this year in Makassar, there are six dealers. Next year there will be one more dealer, there will be two more added. So there are 8 dealership outlets, in Bali maybe Q1 can already work, then in Makassar, from Makassar it will develop to Kalimantan “, said Dhani.

Currently, PT DAS Indonesia Motor markets the Jeep Wrangler starting at IDR 1.6 billion, Gladiator Truck IDR 1.98 billion and the cheapest Jeep Compass at IDR 699 million.

Jeep fails in China

Sales for GAC, which sells the Jeep Cherokee SUV and Compass crossover, have dropped dramatically over the past four years. They dropped by 50% in 2021 from the previous year to 20,396 vehicles. By 2022, GAC has sold fewer than 2,000 vehicles and sold only one in May.

A joint venture between Stellantis (STLA.MI) and Guangzhou Automobile Group (GAC) has filed for bankruptcy. Jeep went bankrupt after suffering a decline in sales in China.

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(rear / din)

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