Bank Mandiri Economist Predicts Motorcycle Sales To Reach 4.8 Million Units In 2021

Illustration. (Photo: Doc. Antara)

JAKARTA - The Economist Team of PT Bank Mandiri (Persero) Tbk predicts motorcycle sales to grow 30.8 percent to 4.8 million units in 2021, compared to the previous projection of 14.5 percent, due to continued economic recovery after COVID-19 cases continued to decline.

However, Bank Mandiri's Chief Economist Andry Asmoro in his economic team's study said that the risk of re-escalating COVID-19 cases still exists and can occur at any time.

If the daily cases of COVID-19 increase again, it will disrupt consumer confidence, which in turn will hold back public spending, including motorcycles.

"The daily increase in COVID-19 cases could result in a decline in economic activity due to mobility restrictions. Furthermore, consumer confidence could weaken," he said, quoted from Antara, Thursday, September 23.

Meanwhile, citing data from the Indonesian Motorcycle Industry Association (AISI), domestic motorcycle sales in August 2021 grew 24.8 percent (mom) by 470.1 thousand units.

Andry saw the increase in August as a result of pent-up demand because in July 2021 the government implemented an emergency Community Activity Restrictions (PPKM) to reduce the rate of transmission of COVID-19.

"Economic activity in August was also relatively better than July, especially because the daily cases of COVID-19 have decreased and people's mobility has begun to increase," he said.

Meanwhile, based on the type, automatic scooter motorcycles dominate domestic motorcycle sales with a market share of 87.3 percent of total sales for the January-August 2021 period. Sales of the automatic scooter type reached 2.9 million units.

Meanwhile, motorcycle sales reached 216.3 thousand units with a market share of 6.56 percent and motorsport as many as 203.1 thousand units with a market share of 6.16 percent.