IBID Admits Difficulty Selling Used Electric Cars

KatadataOTO – The use of electric cars has become increasingly massive in Indonesia. This has happened in the last four to five years.

However, it seems that many Electric Vehicle (EV) users have sold their vehicles, for instance, to auction centers.

Including one at Balai Lelang Serasi (IBID). There are a number of electric cars available for purchase there.

However, according to an IBID executive, public interest in used electric cars is still very low.

Photo : KatadataOTO

“They (EVs) are hard to sell, and in terms of numbers, the resale value has also dropped,” said Daddy Doxa, President Director of IBID in East Jakarta, on Tuesday (15/07).

Doxa further explained that they have tried various methods, such as slashing the prices of the electric four-wheeled vehicles.

Take the Toyota bZ4X they have there, for example. It was initially auctioned with a base price of IDR 700 million.

Now they have lowered the base price to IDR 630 million. However, still no one is buying.

“Even with the price drop, there are still no takers,” Doxa continued.

Doxa revealed that there are several factors making people reluctant to buy used electric cars.

One of them is the ecosystem that is not yet fully established. For example, there are still not enough Public Electric Vehicle Charging Stations (SPKLU).

Then, there is no guarantee of battery quality from the manufacturers, so people are still hesitant to use EVs.

“I am sure that later, if all EV manufacturers increase their production, the resale value will be established,” he continued.

In addition, the electric car battery warranty that becomes void upon transfer of ownership is also a consideration.

Considering that many warranties for the electric four-wheeled vehicle's power storage are only valid for the first-hand buyer.

Therefore, people prefer to own a new electric car rather than a used one.

Nevertheless, Doxa believes that used EVs could have high demand in the future, but not in the near future.

Photo : OLX Autos

“Maybe in five (or) six years, if the government's commitment to EVs remains serious, as there are many incentives,” Doxa affirmed.

Lastly, according to Doxa, buyers of electric cars at auction centers are mostly individuals, not used four-wheeled vehicle dealers.

“As for (used car) showrooms, they are afraid to resell them,” Doxa concluded.