This includes policies on industry and trade, energy, tax, safety standards, the use of technology, and environment. In global role, GAIKINDO is a partner of the automotive industry associations in various countries. This is mainly with associations in the countries where automotive industry becomes the backbone of the economy, and in particular with the principal countries whose products enter the Indonesian automotive market. Diverging markets will open opportunities for new players, which will initially focus on a few selected steps along the value chain and target only specific, economically attractive market segments—and then expand from there. While Tesla, Google, and Apple currently generate significant interest, we believe that they represent just the tip of the iceberg. Many more new players are likely to enter the market, especially cash-rich high-tech companies and start-ups.
- The Association of Indonesia Automotive Industries is a non-profit organisation.
- It is estimated that around 65 percent of all car purchases in Indonesia are made through a loan.
- The scope might reside solely within or across vehicles, or extend across other modes of transportation and related services.
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As a result, the traditional business model of car sales will be complemented by a range of diverse, on-demand mobility solutions, especially in dense urban environments that proactively discourage private-car use. Overall global car sales will continue to grow, but the annual growth rate is expected to drop from the 3.6 percent over the last five years to around 2 percent by 2030. This drop will be largely driven by macroeconomic factors and the rise of new mobility services such as car sharing and e-hailing. We support suppliers with strategic problem-solving and innovation, development, and cost-cutting programs.
Safety in the automotive industry is particularly important and therefore highly regulated. Automobiles and other motor vehicles have to comply with a certain number of regulations, whether local or international, in order to be accepted on the market. The standard ISO 26262, is considered one of the best practice frameworks for achieving automotive functional safety. Strategic Transformation, Growth And Restructuring Suppliers need to constantly re-think and transform their business design in order to stay competitive.
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