Automotive - 4W sales forecasted to reach 1.1 mn units

Automotive - 4W sales forecasted to reach 1.1 mn units The Association of Indonesian Automotive Industries (Gaikindo) projects national car sales to reach 1.1 mn units in 2024. This is considering the existence of new brands and models that will enliven the market next year. The target is slightly higher than the 1.05mn units set this year. (Source: Kontan) Comment: We believe the target is achievable. Our ‘24F for 4W sales is 1,043,126 units (2W ‘24F could reach 6,275,054 units). On the absence of peaking interest rate, we believe auto loan yield repricing likely to have the same figure with this year. Low down payment, longer installment period of up to 8years and various promotion from dealer should be translated as several catalysts for the sector, in our view. Maintain OW stance for Automotive sector.