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Decline in Sales of Wuling Air Ev in June 2023: Factors and Impact

Jakarta

Sales of Wuling Air ev in June 2023 have seen a decline. If it usually reaches 400 units, in the sixth month it only reached 210 units.

Wuling Air ev is the new prima donna in the environmentally friendly vehicle segment. The pocket-friendly price makes Wuling Air ev the people’s choice. Wuling Air ev is the first electric car in Indonesia which is sold under IDR 300 million. Moreover, at that price, drivers get privileges in the form of an even odd number and a light tax.

Evidently, the charm offered by Air ev has attracted consumers in Indonesia. In its first year, sales of Wuling Air ev reached 8,053 units. But entering 2023, Air Ev sales on a wholesale basis are seen to have decreased.

Starting from January, sales of Air Ev were recorded at only 35 units. Continuing in February, distribution from factories to Wuling Air ev dealers reached 83 units. One of the factors that triggered the decline was the many holidays at the beginning of the year and also Chinese New Year. Then in March, we saw an increase in sales of Air ev.

In March, sales of Air Ev reached 421 units. Furthermore, in April, the government began imposing Value Added Tax (VAT) incentives. Wuling Air ev is one of two electric cars that receive this VAT incentive. Wuling is known to meet the requirements for VAT incentives because it has a minimum Domestic Component Level (TKDN) of 40%. Listed on the TKDN page of the Ministry of Industry, Wuling Air ev uses local components as much as 40.04%.

As a result, the price of Wuling Air ev has also been cut. Thanks to this incentive, the price of Wuling Air ev was reduced by Rp. 26 million at most. That way, Wuling Air ev is sold at a price range of IDR 221.5 million to IDR 272.9 million.

This is considered to be the main attraction for Air ev. However, when looking at sales, the provision of incentives does not seem to have a significant effect. Distribution of Air ev is still in the range of 400 units in April and May. In June, sales of Air ev actually declined to around 210 units. In total, in the first six months of 2023, the distribution of Wuling Air ev has only reached 1,654 units. It hasn’t even reached 50% of its achievement in 2023.

Watch the video “Become the Most Affordable Electric Car, Who Buys Wuling Air ev?”

(dry/lth)

2023-07-18 01:10:25
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