Chery Highlights Japanese Brands Beginning to Slash Car Prices, Following China's Lead

KatadataOTO – It's nothing new to see Chinese manufacturers competing to offer significantly cheaper car prices for Indonesian consumers. 

Although it can trigger a fierce price war and have negative impacts, a similar move seems to be starting to be made by manufacturers from Japan.

The latest is the Honda HR-V Hybrid. Locally assembled, the model is sold at a price below the previous highest variant and under Rp 500 million.

Responding to this, PT CSI (Chery Sales Indonesia), as one of the brands from China, does not deny that price competition is currently unavoidable.

Photo : Chery

“Actually, it has been done by several brands, so there is a price adjustment. The same type, the price goes down,” said Budi Darmawan, Sales Director of PT CSI in Jakarta some time ago.

It is not impossible that a similar price-slashing strategy will be implemented more fiercely throughout 2025.

Especially with the presence of various new brands and products from China. The prices offered, especially for the electrification line, are significantly cheaper than other similar models.

“That's called competition, we can't avoid it. Indeed, things like that can happen,” said Budi.

However, he is confident that Chery products can still be in demand by consumers, including their newest PHEV (Plug-in Hybrid Electric Vehicle), the Chery Tiggo 8 CSH.

Being the cheapest PHEV in Indonesia, Budi revealed that the model is expected to be a bridge for the public and consumers to transition towards total electrification.

Considering the potential negative impact of a price war, Chery emphasized that the prices of their vehicle lineup will still be adjusted over time.

Photo : KatadataOTO

“Of course, at some point, it's impossible for a manufacturer to want to sell at a loss. We will raise (the price of Chery cars) little by little,” Budi affirmed.

For your information, the Chery Tiggo 8 CSH, touted as the cheapest PHEV in Indonesia, was launched with a price of Rp 499 million.

After reaching 1,000 customers, the price will increase to Rp 509 million. If sales reach 3,000 units, the normal price of Rp 519 million will apply.