We visited the Gaikindo Indonesia International Auto Show (GIIAS), the country's largest auto show, at ICE BSD which takes place on 18 – 28 July 2024. This year, 31 4W brands and 20 2W brands showcased their products, along with 120 brands from supporting industries. Just like last year, EVs remain the focal point of GIIAS 2024, with multiple brands introducing their latest models. However, several ICE and hybrid models also caught our attention.

EV: Affordability is Priority. Affordability seems to be the main theme for EVs at GIIAS 2024, with several brands, both existing and new, showcasing their ‘cheaper’ EV models (around IDR 300–400 million). A newcomer, GAC AION (distributed by IMAS), launched three EV models: AION ES (sedan), offered at IDR 386mn with a 55.2kWh battery and a range of up to 442 km; AION Y Plus (compact SUV), offered at IDR 415mn (63.2kWh; 490 km range); and AION Hyper HT (SUV), offered at IDR 685mn (83kWh; 600 km range). BYD, the Chinese automaker that caught attention at IIMS 2024, also launched more affordable variants of its existing EV models: Dolphin Dynamic (IDR 365mn; 44.9kWh; 410 km range) and BYD Atto 3 Advanced (IDR 465mn; 49.92kWh; 410 km range), both of which have smaller batteries and shorter ranges than the existing variants. BYD also expanded its lineup with a new MPV, the BYD M6, with prices ranging from IDR 379mn (Standard 7-seater, 55.4kWh, 420 km range) to IDR 429mn (Superior 6-seater with captain seat, 71.8kWh, 530 km range). Another Chinese EV brand, Neta, introduced its new locally manufactured SUV, Neta X, with an estimated price range of IDR 460–490mn (61kWh, 430 km range), while Chery introduced the ‘Pure’ variant of its Omoda E5 (IDR 420mn; 61kWh; 430 km), which is cheaper than the existing Omoda E5 (IDR 488mn) but with some features removed. Aside from the more ‘budget-friendly’ ones, several high-end EV models were launched at GIIAS 2024, including the Hyundai Ioniq 5 N (IDR 1.3bn, 84kWh, 448 km range), the ‘Earth’ variant of the KIA EV 9 (IDR 1.56bn, 76.1kWh, 443 km range), and the BMW i5 M60 (IDR 2.7bn, 81.2kWh, 516 km range).

Hybrid & ICE: New Offerings from Big Players and Chinese Makers. The Indonesian hybrid market welcomed several new models at GIIAS 2024, with three notable offerings from major automakers: Toyota Prius (sedan; IDR 698mn), Nissan Serena E-Power (MPV; IDR 635–639mn) and KIA Carnival Hybrid (MPV; IDR 1.38bn). For the ICE market, several Chinese brands introduced their ICE models at the show. Chery presented Tiggo 8, a downgraded variant of its Tiggo 8 Pro and Pro Max, priced around IDR 400mn. Chery also showcased two of its sub-brands: Jaecoo, with the Jaecoo iCar 03 (an off-road 4W EV), and Jetour, with two ICE SUVs, the Dashing and X70 Plus, both rumored to be priced below IDR 500mn. Another Chinese brand, BAIC, displayed two ICE SUVs: the BJ40 Plus (IDR 783mn) and the X55 II (IDR 487mn).

HOLD for ASII. We maintain our HOLD rating for ASII with TP of IDR 4,500/share (based on SOTP valuation). We believe ASII’s dominance in the Indonesian market (60% market share in June 2024) should help mitigate the impact of Chinese automakers' penetration. Also, the upcoming incentive for 4W hybrids is expected to benefit ASII, given its extensive hybrid portfolio (including the Innova Zenix, Prius, Corolla Cross, and Camry). Lastly, we anticipate BI rate cuts sometime next year, which might help support auto sales volume in 2025F.