Indonesia Used Car Market Strong Growth Driven by Rising Demand for Affordable Mobility

September 3, 2025 Mark twain 2 Views

Used Car Market Research Reports include used cars of all characteristics, make and origin, from all over Indonesia.

Future of Indonesia Used Car Market the Indonesia Used Car Market is expected to expand at a remarkable CAGR of 5.5% over the forecast period (2025-2032), on account of increasing demand for used vehicles on account of rising interest in used vehicles, surging disposable income and introduction of e-commerce sales channel.

Indonesia Used Car Market Trends

A s the age of digitalisation alters buying patterns for customers, the online platforms are fast emerging as the laboratory space for comparing prices and selecting a vehicle. The shift to digital platforms has been driven by NKs growing internet penetration 79.5% of population have been using mobile internet and in particular by Gen Z.

Indonesia Used Car Market Drivers

Rising New Car Prices

Over the past decade, car prices have surged 37%, as opposed to growth of only 28% in household incomes. This discrepancy in the cost of goods has further weighed on the ability of consumers to buy. With the prices of new cars easily exceeding the average household income annually buying used cars is such a grim reality for many people, and many are not able to purchase any cars at all. The decision to buy new cars has also been affected by the increased interest rates issued by Bank Indonesia especially if you want to buy with a financing scheme. As rates rise, monthly payments increase, making new cars less affordable for some buyers.

Indonesia Used Car Market Segmentation Indonesia Used Car Market -By Market Type: The organized used car market dominated the used car market share of the Indonesia used car and was it was reported to stop scaling achieved in the used car market.

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Insights by vehicle type SUV is expected to have the largest market share

The SUV segment is to account for the largest share based on vehicle type. Used car buyers have begun favouring SUVs in the past few years. As they have been there working towards getting some fresh options to this fast-growing industry consumers always have an eye towards the newest SUVs. A renewed interest in SUVs from local buyers may have been driven by younger consumers.

There’s also more demand for used SUVs due to their versatility and handling on almost any road surface. SUVs are increasingly popular above all because of greater road infrastructure, and the increasing urbanization leads to better road networks.

Vehicle type market Insights:

On the basis of vendor type, it is segmented into organised and unorganised segments. Compared to costs, the informal market will likely be much cheaper than brick-and-mortar and online. For consumers pinched for cash — especially if they are low-income — this can be difficult to resist as they may not have access to credit or do not want to pay more given they are informal deals.

Market insights by vehicle type: Petrol cars lead the way.

By type of fuel the market is segmented into petrol and diesel. In general petrol cars are cheaper to buy and maintain over the life time. This makes petrol cars more affordable to many.

Vehicle Type industry Insights: The offline segment is still leading the market

By sales channel, the market can be segmented into online and offline. Offline is still leading due to test drive feature and pricing negotiation directly with vendors. This kind of one-on-one relationship can help build trust between sellers and buyers. But online is growing fast, driven by growing internet penetration and smartphone use, with internet users almost making up for 80% of the population. Online platforms have solved trust problems through the combination of reliable vehicle inspections and partnerships with reliable dealers, thus helping to grow the segment.

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Market Segmentation

Indonesia Used Car Market by Vehicle Type

- Hatchbacks
- Sedans
- Sports Utility Vehicles (SUV)
- Multi-purpose Vehicle (MPV)

Indonesia Used Car Market by Vendor Type

- Organized
- Unorganized

Indonesia Used Car Market by Fuel Type

- Petrol
- Diesel

Indonesia Used Car Market by Sales Channel

- Offline
- Online

Indonesia Used Car Market Leading players

- Carro
- Caroline
- iCarAsia
- OLX
- Carsome
- Mobil88
- Toyota Trust
- Pt Tunas Ridean Tbk
- Diamond Smart Auto
- Carmudi