Automotive Business In 2023 Still Promises, Dharma Polimetal Milik Konglomerat TP Rachmat Targets Growing Sales 20 Percent

Photo: Doc. Antara/Dharma Polimetal

JAKARTA - Automotive component manufacturing issuer PT Dharma Polimetal Tbk (DRMA) assesses that the prospect of automotive business in 2023 is still promising.

DRMA President Director Irianto Santoso said the company is optimistic and targeting sales next year to grow 20 percent.

"As for 2022, which will end soon, DRMA is optimistic that the 20 percent sales growth target and 50 percent net profit growth this year can be achieved," said Irianto in a statement quoted by Antara, Friday, November 25.

In an effort to boost the company's performance, DRMA, owned by conglomerate TP Rachmat, is expanding by building three new factories and one factory expansion project.

The factory construction project is mainly to boost the production of components of four-wheeled vehicles where demand for components from automotive manufacturers continues to increase in line with increased car sales in Indonesia.

According to a report by the Indonesian Automotive Industry Association (Gaikindo), cumulatively during the January-October 2022 period, domestic wholesale car sales had reached 851,413 units. This figure is close to the full year's achievement in 2021 which reached 887,202 units.

As for motorcycle sales in Indonesia, the Indonesian Motorcycle Industry Association (AISI) noted that motorcycle sales in Indonesia throughout October 2022 reached 537,587 units, an increase of 4.49 percent compared to the same period last year. Total motorcycle sales throughout January-October have reached 4,149,947 units.

In addition, anticipating the trend of electric vehicles in the future, DRMA is preparing an investment by designing a prototype of a three-wheeled electric vehicle with the PowerAce brand which will be launched in 2023.

The company is also developing battery packs and battery management systems, as well as investing in new machines for existing products, which can later be used to support the creation of body and chassis parts for electric vehicles.

"As a business entity, we must always be anticipatory about the development of the industry being carried out. Seeing the trend of electric vehicles that will be brighter in the future, DRMA will try to seize opportunities by making various investment preparations for the development of electric vehicles," said Irianto.