Electrification Models Boost Toyota’s Export Performance in the First Semester of 2024

Jakarta – Amid global economic uncertainty, the performance of the automotive export industry remains a strong pillar supporting Indonesia’s positive trade balance. The success of exporting high-tech products from the national automotive industry is supported by the Indonesian government and the robust supply chain, which consists of thousands of suppliers and their networks from upstream to downstream. Ongoing government support has been a crucial catalyst in driving national automotive exports. Through these high-tech, value-added products, the automotive industry not only increases state tax revenues but also creates significant opportunities for local suppliers and Small and Medium Enterprises (SMEs) to supply vehicle components to penetrate export markets.

According to GAIKINDO data, the total export of national automotive vehicles in the first semester of 2024 reached 218,000 units, which is a 12% correction from the 248,000 units exported in the same period in 2023. Despite this correction, this achievement drives the national automotive industry to maintain its position amid global dynamics, through adaptability in facing global challenges and a strong commitment to continue contributing to the government’s positive trade balance.

"Although the export performance of national automotive vehicles in the first semester of 2024 saw a correction, the role of electrification exports provides optimism for future export growth. This shows the resilience and adaptability of the industry in facing global challenges, particularly in continuing to innovate and enhance competitiveness toward an electrification era that can strengthen Indonesia's position as a global production and export base. Toyota Indonesia will continue to collaborate with the entire supply chain, from upstream to downstream, to support this effort, ensuring that our vehicle innovations and quality can meet the increasingly competitive global market needs and support the sustainable growth of the domestic automotive industry," said Nandi Julyanto, President Director of PT TMMIN.

To support vehicle export performance, Toyota Indonesia continues to enhance the export performance of domestically produced vehicles through product development, market expansion, and increased export volumes to meet the growing global demand, particularly through electrified vehicles. In the first semester of 2024, exports of T-Brand complete vehicles totaled approximately 132,000 units, exported to more than 80 countries in Asia, the Middle East, South America, Australia, Africa, and Oceania. This achievement supports the contribution of T-Brand vehicle exports, which still accounts for 60% of total national vehicle exports, making it a key pillar of Indonesia’s automotive exports.

Contribution of Electrification Models

The optimism for electrified vehicle export performance significantly contributes to the positive achievements in Toyota brand vehicle exports. According to GAIKINDO data, the total export of T-Brand vehicles in the first semester of 2024 reached around 4,400 units, with the Kijang Innova Zenix Hybrid model recording exports of about 2,200 units, while the newly launched Yaris Cross Hybrid variant in mid-2023 was exported in more than 2,000 units. These two models are widely distributed and meet market needs in Asia, Latin America, the Middle East, and Africa. The positive achievement of these two vehicle variants indicates that Toyota’s locally produced electrification technology innovations are well-received in international markets, potentially strengthening Indonesia’s automotive industry position in global competitiveness.

"The export achievement of Toyota’s electrification vehicles through the Kijang Innova Zenix Hybrid and Yaris Cross Hybrid models in the first semester of 2024 not only strengthens Toyota’s industry depth in Indonesia as a globally sought-after high-tech vehicle producer but also underscores the importance of developing a competitive automotive industry. Competitiveness is key to further expanding automotive export performance and playing a role in the global value chain. This requires continued support through strengthening the domestic market, optimizing logistics schemes, developing human resources, and adopting technology so that high-tech automotive export products can stimulate new added value in the industry and support higher foreign exchange earnings. This effort is a strategic step in supporting the Indonesian automotive industry to achieve and maintain a leading position in the increasingly competitive global market," said Bob Azam, Vice President Director of PT TMMIN.

Future Strategies and Optimism

Toyota Indonesia is optimistic that the total export of T-Brand vehicles in 2024 will reach the same level as last year. Support from the expansion of electrification model exports, as we have done in Asia, the Middle East, and Latin America, is key to this achievement. This step not only expands market reach but also demonstrates our commitment to providing vehicle technology that meets global consumer needs and preferences. Moving forward, in line with the Indonesian government, Toyota continues to explore opportunities to expand export activities by considering demand and market trends, including non-traditional export destination countries and optimizing Indonesia’s strategic demographics. These efforts include intensive communication with potential customers and direct visits to destination countries to listen to customer feedback and understand relevant needs and preferences. Supporting the development of suitable vehicle solutions, Toyota Indonesia not only focuses on exporting complete vehicles but also on developing conversion vehicles, accessories, and derivatives that meet global market needs, such as conversion vehicles like cash carriers, well-cabs, and patrol cars tailored to specific country needs. This step aims to bring competitive and innovative products to international markets. We believe that with strong collaboration between industry, government, and related supply chains, we can realize the vision of a highly competitive and sustainable Indonesian automotive industry, providing tangible benefits for national economic growth.