Influx of Chinese imported trucks hits local car companies

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Indonesia's imports of Chinese trucks have sparked concern among local car companies, which have already been affected.Automotive analysts point to DOE, DOT, and DOI policies and regulations for off-highway commercial vehicles, such as those in mining areaslack of synergy.. Japanese car companies face a competitive imbalance due to overlapping policies. Chinese trucks are used in closed mining areas and are not subject to some of the same regulations, and many still use theEuro II or Euro III enginesand Japanese car companies to meet the government's requirements for theEuro IV standard, has invested trillions of guilders in upgrading production lines at a higher cost.

Mitsubishi FusoThe Indonesian Automotive Industry Association (Gaikindo), which has been hit by imported Chinese trucks, has reported the problem, but the government has yet to offer a solution. The commercial sector is a labor-intensive industry that contributes significantly to the country's economy, and Gaikindo's secretary-general said the profits from imported Chinese trucks threaten the local industry, especially those that have invested heavily. As of July, it was estimated that nearly7000 vehiclesCommercial vehicle imports, which could reach by the end of the year14,000 vehiclesThe

In addition, vehicle emission standards are an established government strategy, and imported fully loaded trucks (CBU) has had an impact, with some auto parts suppliers havingLay off nearly half of the staff. The Secretary General of the Indonesian Automobile and Motorcycle Industry Federation (GIAMM) has called for the importation of CBU trucks to be stopped as soon as possible so as not to affect industries such as parts and body manufacturing.

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