JAKARTA - The tension between Iran and Israel and the United States continues which certainly has the potential to affect many industries, including the automotive industry.
Not without reason, the conflict could trigger an increase in energy prices such as fuel oil. Moreover, Iran has restricted the Strait of Hormuz, which is a crucial sea route and one of the most important oil chokepoints in the world.
This condition has the potential to encourage a shift in consumer interest to new energy vehicles (NEV), such as electric cars and vehicles with other electrification technologies.
Business Unit Director Jaecoo Indonesia Jim Ma said that the potential increase in fuel prices due to the conflict could open up opportunities for alternative energy vehicle manufacturers.
"I think the Iran conflict will be a new opportunity for everyone in the Indonesian market, especially for renewable energy products because petrol prices will increase so it will be a good opportunity for all NEV brands and also renewable energy vehicle products," he said, when met in Jakarta some time ago.
According to him, the increase in fuel prices usually makes consumers start to consider vehicles that are more efficient and not too dependent on fossil fuels.
However, he could not confirm whether the geopolitical situation would have a direct impact on the price of vehicles marketed in Indonesia, including the new SUV, the Jaecoo J5 EV electric SUV.
"The price will depend on the business strategy, but also on the demand from customers in Indonesia. In any case, changes will affect everyone. It will affect something, but we will try to reduce this influence to Indonesian customers," he added.
Jaecoo Indonesia itself has various models of NEVs, such as J7 SHS, J8 SHS ARDIS to J5 EV. This Chinese brand will continue to add to its car model lineup and there is a 7-seater SUV that will be launched this year.
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