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Honda Motor’s Business Developments in Indonesia
Honda Motor’s automobile sales dropped 37.7% in 2021 compared to 2019. The automaker’s market share fell 3.5pp to 10.3% due to fast recovery of the top three brands in the Indonesian market Toyota, Daihatsu and Mitsubishi. In an effort to boost sales, Honda has been releasing upgraded models since the second half of 2021. The fully-remodeled BR-V subcompact crossover, which was Honda’s best-selling model in Indonesia in the first quarter of 2022, was launched in September 2021. Another subcompact crossover, the HR-V, which was Honda’s second best-selling model in Indonesia in 2021, was released in March 2022.
Honda Motor: Recent Business Developments in Indonesia
・In September 2021, the fully-remodeled BR-V was launched.
- The BR-V is a compact SUV with seven seats in three rows sold exclusively outside Japan. It is manufactured in Indonesia. It is the first time that the BR-V underwent full model change since its launch in January 2016. Local procurement rate has been increased to 84%.
- It was first launched in Indonesia ahead of other markets. Delivery began in January 2022.
- The model is available in five grades.
- The powertrain has remained the same; however, engine output has been improved. The width of the model was increased by 45mm while its minimum ground clearance was made 19mm higher.
- The top four grades are equipped with remote engine start and walk away functions. In addition to LaneWatch, the highest grade features Honda Sensing driver assist system which provides safety and drives assist functions (CMBS, FCW, RDM, LDW, ACC, LKAS, TSR).
- The front design emphasizes the powerful design, such as multiple thick chrome rod-shaped plates that harmonize with the headlights.
- The new BR-V is based on the N7X which was unveiled as a concept model in Indonesia in May 2021. The N7X has been developed by Honda R&D Asia Pacific in Thailand based on consumer surveys in Indonesia and elsewhere.
- The sales target for 2022 is set at 40,000 units.
・In March, 2022, Honda started exporting the BR-V to Caribbean countries. Six thousand units are planned to be exported in 2022. The number of export destinations is planned to be increased to 30 countries.