Indonesia’s new vehicle market expanded by 61.4% year-on-year to 55,688 units in February, from depressed sales of 34,506 units a year earlier, according to industry data.

The market is recovering strongly from last year’s dip, with monthly volumes a close to record highs in the last two months. Low interest rates and looser bank lending is helping to drive demand. The broader economy too is rebounding strongly, with first-quarter GDP growth estimated at around 5% year-on-year.

Cumulative sales for the January-February period rose by 64% to 108,519 units, compared with 34,506 units a year earlier. Toyota sales rose by more than 73% to 42,551 units, with sales of the Avanza amounting to just under 21,000 units, while Daihatsu sales rose by 46% to 15,820 units.

Earlier this week, GM Indonesia launched its 1.8L Cruze compact passenger car, which it imports from GM-Daewoo in South Korea. Up to 250 sales are expected this year, from a total of 3,500 units. Its best-selling model is the Captiva SUV.

Tony Pugliese