Indonesia: Motor Vehicle Engine Market 2025

Motor Vehicle Engine Market Size in Indonesia

In 2021, after nine years of growth, there was significant decline in the Indonesian motor vehicle engine market, when its value decreased by -8.3% to $X. Overall, consumption, however, showed strong growth. As a result, consumption reached the peak level of $X, and then fell in the following year.

Motor Vehicle Engine Production in Indonesia

In value terms, motor vehicle engine production fell to $X in 2021 estimated in export price. Over the period under review, production, however, saw strong growth. The pace of growth appeared the most rapid in 2016 with an increase of 29% against the previous year. Motor vehicle engine production peaked at $X in 2020, and then fell in the following year.

Motor Vehicle Engine Exports

Exports from Indonesia

In 2021, overseas shipments of motor vehicle engines (spark-ignition) decreased by -2.4% to X tons, falling for the third consecutive year after seven years of growth. In general, exports, however, continue to indicate a remarkable increase. The pace of growth was the most pronounced in 2016 with an increase of 87%. The exports peaked at X tons in 2018; however, from 2019 to 2021, the exports failed to regain momentum.

In value terms, motor vehicle engine exports rose significantly to $X in 2021. Overall, exports, however, continue to indicate a prominent expansion. The growth pace was the most rapid in 2016 with an increase of 124%. Over the period under review, the exports hit record highs at $X in 2019; however, from 2020 to 2021, the exports remained at a lower figure.

Exports by Country

Malaysia (X tons) was the main destination for motor vehicle engine exports from Indonesia, accounting for a 41% share of total exports. Moreover, motor vehicle engine exports to Malaysia exceeded the volume sent to the second major destination, the Philippines (X tons), threefold. The third position in this ranking was held by Vietnam (X tons), with a 16% share.

From 2012 to 2021, the average annual growth rate of volume to Malaysia amounted to +29.4%. Exports to the other major destinations recorded the following average annual rates of exports growth: the Philippines (+34.7% per year) and Vietnam (+15.3% per year).

In value terms, the largest markets for motor vehicle engine exported from Indonesia were Malaysia ($X), Vietnam ($X) and the Philippines ($X), with a combined 68% share of total exports. Taiwan (Chinese), France, Argentina, Thailand, South Africa, Cambodia and Colombia lagged somewhat behind, together accounting for a further 23%.

Cambodia, with a CAGR of +147.0%, recorded the highest rates of growth with regard to the value of exports, in terms of the main countries of destination over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2021, the average motor vehicle engine export price amounted to $X per ton, picking up by 9.7% against the previous year. Over the period from 2012 to 2021, it increased at an average annual rate of +3.9%. The pace of growth appeared the most rapid in 2016 an increase of 20%. The export price peaked in 2021 and is expected to retain growth in the immediate term.

Prices varied noticeably country of destination: the country with the highest price was France ($X per ton), while the average price for exports to Colombia ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Taiwan (Chinese) (+7.7%), while the prices for the other major destinations experienced more modest paces of growth.

Motor Vehicle Engine Imports

Imports into Indonesia

After two years of decline, overseas purchases of motor vehicle engines (spark-ignition) increased by 6.5% to X tons in 2021. Overall, imports, however, continue to indicate a mild contraction. The pace of growth appeared the most rapid in 2018 with an increase of 233% against the previous year. As a result, imports attained the peak of X tons. From 2019 to 2021, the growth of imports remained at a somewhat lower figure.

In value terms, motor vehicle engine imports rose to $X in 2021. Over the period under review, imports, however, continue to indicate a noticeable reduction. The most prominent rate of growth was recorded in 2018 when imports increased by 246% against the previous year. As a result, imports reached the peak of $X. From 2019 to 2021, the growth of imports failed to regain momentum.

Imports by Country

China (X tons), Japan (X tons) and Thailand (X tons) were the main suppliers of motor vehicle engine imports to Indonesia, with a combined 85% share of total imports.

From 2012 to 2021, the biggest increases were recorded for China (with a CAGR of +22.5%), while purchases for the other leaders experienced mixed trend patterns.

In value terms, the largest motor vehicle engine suppliers to Indonesia were Japan ($X), China ($X) and Thailand ($X), with a combined 76% share of total imports.

China, with a CAGR of +34.3%, recorded the highest rates of growth with regard to the value of imports, in terms of the main suppliers over the period under review, while purchases for the other leaders experienced mixed trend patterns.

Import Prices by Country

In 2021, the average motor vehicle engine import price amounted to $X per ton, shrinking by -4.1% against the previous year. Over the period under review, the import price showed a noticeable curtailment. The pace of growth was the most pronounced in 2018 an increase of 3.7%. The import price peaked at $X per ton in 2012; however, from 2013 to 2021, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2021, the country with the highest price was Germany ($X per ton), while the price for China ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by China (+9.6%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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