JAKARTA – The corona virus pandemic (Covid-19) which has not abated has put the Indonesian economy on the brink of recession. Finance Minister Sri Mulyani Indrawati said, the economic contraction in the second quarter of this year is predicted to be deep enough that the government corrected estimates of economic growth from 2.3% to minus 0.4% to 1% by the end of 2020.
Economic contraction is reflected in the sluggish business activities. Despite having begun to move, the wheels of the economy limp. Some even suspended animation. Even so, there are a number of business sectors that are actually growing. For example, e-commerce business, food and beverage sales business and expeditions and couriers. The growth of these sectors also affected other sectors such as automotive.
Based on data from the Indonesian Automotive Industries Association (Gaikindo) year to date in May 2019-May 2020, Isuzu Giga recorded a growth of 3.6%, but the sales volume was minus 45.4%. For Isuzu Elf, the market share was up 1.5%, but sales were minus 29.8%.
While Isuzu Traga posted a 9.9% market share, but sales were minus 9.6%. In fact, the total commercial vehicle market in the same period fell minus 37.5% where in May 2019 there were 97,484 units sold and in May 2020 there were 60,963 units.
General Manager of PT Isuzu Astra Motor Indonesia (IAMI) Attias Asril acknowledged that the automotive industry was one of those that experienced a decline in sales during the Covid-19 pandemic. Even so, the commercial vehicle market is still quite promising due to positive growth in a number of business sectors at the time of the pandemic. For example, the logistics sector and couriers. “We are confident that commercial vehicle sales will improve even though it was quite heavy to match last year,” he explained.
He said the increase occurred because there were a number of sectors that grew during the pandemic such as logistics and couriers.
Chairperson of the Association of Indonesian Express, Post and Logistics Shipping Services (Asperindo) M Feriadi called on all members to remain optimistic and to make preparations so that services to the public remain excellent.
In addition, Asperindo also always communicates with the government, in this case the Coordinating Ministry for the Economy, the Ministry of Communication and Information, and other government stakeholders. “The goal is that we can play an active role and join in the struggle in the new normal period,” he said.
Meanwhile, Chairperson of the Indonesian Logistics Association (ALI) Zaldy Ilham Masita said, even though it had entered the new normal era, logistics activities would not recover as before. Because the logistics business has experienced a very sharp decline, which is up to 80% during the pandemic.
“Since January it has been felt even since March there has been almost no activity. But, now it’s starting to rack up, “he said. (Hatim Varabi)