Motorcycle Market Overview: A Recent downturn

Indonesia’s motorcycle market, a important indicator of consumer spending and economic activity, has shown signs of cooling down in April 2025. While the cumulative sales from January to April reached a substantial 2,089,953 units, April’s performance marked the lowest monthly figure of the year.

domestic Sales Decline

According to data from the Indonesian Motorcycle Industry Association (AISI), motorcycle sales in April totaled 406,691 units. This represents a notable decrease compared to March, which saw 541,684 units sold. The April figures also lag behind the same period last year, when 419,136 units were sold.

April’s motorcycle sales performance was the weakest of 2025, falling short of both the preceding month and the corresponding period in 2024.

Indonesian Motorcycle industry Association (AISI)

AISI’s data does not currently provide a detailed breakdown of sales by motorcycle type (e.g., scooter, standard, sport), making it tough to pinpoint specific segments driving the decline. However, industry analysts suggest that factors such as shifting consumer preferences, economic uncertainties, and potentially increased adoption of electric vehicles could be contributing to the slowdown.

Export Performance: A Parallel Trend

The downturn isn’t limited to the domestic market. Indonesian motorcycle exports also experienced a decrease in April. After a promising start to the year, with exports peaking in March, April saw a reduction in both wholly built-up (CBU) and completely knocked-down (CKD) motorcycle shipments.

CBU exports

January 2025 saw 40,878 units exported, followed by increases to 43,899 in Febuary and 49,998 in March. However, April witnessed a drop to 38,254 units. In total, 173,029 CBU motorcycles were exported from Indonesia during the first four months of 2025.

CKD Exports

Similarly, CKD exports decreased to 647,426 units in April, down from 662,285 units the previous month. The total CKD exports for January-April reached 2,724,596 units.

As with domestic sales, AISI’s export data lacks segmentation details. Though,it is indeed believed that automatic motorcycles (scooters) remain the dominant export category,mirroring trends in the domestic market.

Industry Outlook and Sales Targets

Despite the recent dip, AISI remains optimistic about the overall motorcycle market in 2025. The association has set a sales target of at least 6.4 million units for the year, a slight increase compared to the 6,333,310 units sold in 2024. Achieving this target will depend on various factors, including economic stability, consumer confidence, and the industry’s ability to adapt to evolving market dynamics.

The indonesian motorcycle market is one of the largest in the world, driven by affordability, practicality, and the country’s extensive road network. However,increasing urbanization,traffic congestion,and environmental concerns are prompting a shift towards alternative transportation options,including electric motorcycles and public transport. The industry’s long-term success will hinge on its ability to innovate and cater to these changing demands.