The Reasons Behind Chinese Cars Dominating the National Market: Attractive Quality and Price

If you pay attention to every automotive exhibition held regularly, Chinese car brands have been steadily increasing in number. It’s fair to say that Chinese cars have already established dominance in Indonesia’s market—and there are clear reasons why this happened.

A few years ago, Indonesia’s car market was largely dominated by manufacturers from Japan, Korea, and several European countries. While these established brands still exist, the penetration of Chinese car brands has grown significantly, and now their products are easily found in the market.

But what exactly makes cars from the “Land of the Red Dragon” gain such dominance?

Why Are Chinese Cars Dominating Indonesia?

The dominance of Chinese cars in Indonesia is also reported in several other countries. According to a report on kompas.com, China has become a major player in automotive markets across Latin America, Africa, the Middle East, Central Asia, and Southeast Asia—including Indonesia.

This success is said to be driven by an aggressive pricing strategy. Markets in developing countries are highly price-sensitive, so offering affordable prices with modern features becomes a major temptation for consumers.

This trend is also supported by the global shift toward electric vehicles, which are generally marketed at high prices. Chinese manufacturers stepped in to offer electric cars with advanced technology and futuristic designs—but at much more affordable prices.

In short, there are five main reasons why Chinese cars have gained dominance:

First, competitive pricing.
Second, bold innovation in electric vehicles.
Third, improving quality standards.
Fourth, wide product diversification.
Fifth, acquisition of well-known brands previously established in local markets.

However, as a consumer, it’s your responsibility to learn more about the pros and cons of Chinese cars available in the national market, so you can make the most reasonable choice based on your budget.

Pros and Cons of Chinese Cars in General

Discussing the detailed pros and cons of every Chinese car model would make this article extremely long. However, based on the many models available, here are the main points:

Pros of Chinese Cars

There are at least four advantages of Chinese cars in Indonesia’s market:

Affordable purchase price.
Abundant and modern features.
Innovative designs that dare to be different.
Long warranties on spare parts, service, and the car overall.

Cons of Chinese Cars

Alongside these advantages, there are also drawbacks you need to be aware of for a more accurate consideration:

Rapid depreciation in resale value.
Material quality sometimes feels less premium in larger-scale models.
Limited features in economical series.
Ergonomic compromises in some models for efficiency and uniqueness.

Ultimately, the decision is yours. The pros and cons outlined here are just a general overview, and each car will have its own unique selling points to attract buyers.

Recommended Cars from Chinese Brands

At the beginning of 2025, there were around 16 Chinese car brands marketed in Indonesia. Meanwhile, Japan ranked second with a total of 13 different brands, further emphasizing the dominance of Chinese cars in the national market.

Among the many brands available today, several stand out as recommendations based on various considerations such as vehicle quality, after-sales service, and other key points.

1. Wuling

Currently the most recognized Chinese brand in the national market, Wuling Motors has recorded high sales since 2024. Popular models include the Wuling Almaz and Wuling Confero.

Having been around for eight years since its debut in 2017, Wuling initially struggled to gain public trust. Today, with increasingly diverse product innovations, you can easily spot Wuling cars on city streets—a clear sign of its strong sales performance.

2. BYD

BYD has captured attention with its futuristic and modern car designs, offering a wide range of high-quality vehicles. Specializing in electric cars, BYD provides high fuel efficiency and zero emissions during use.

Its futuristic design impresses many, especially considering the price point for each variant. While not the cheapest option, the value is undeniable when compared to the advanced features, technology, and elegant design offered—making BYD highly competitive in the market.

3. Chery

The third recommendation is Chery, which, according to beritasatu.com, recently recorded sales of over 16,700 units—equivalent to a 2.6% share of the national automotive market.

Its product lineup ranges from SUVs to compact city cars. The Omoda 5 and Tiggo Series are the backbone of Chery’s sales in Indonesia, with impressive performance.

4. AION

Another notable name is AION, under the GAC Group. This brand sold more than 4,800 units in 2025, representing a 0.8% market share for the year.

Although relatively new, its sales figures show promising prospects and indicate that its products are well-received in the national market.

Other Chinese brands active in Indonesia’s automotive industry include Denza, Geely, Morris Garage, Great Wall Motors, FAW, Jaecoo, and more. However, the brands mentioned above are the leading players among Chinese car manufacturers in the Indonesian market.

Choose Wisely, Complete with Maximum Protection

Although Chinese car brands dominating the national market today already offer high-quality products, there’s no harm in providing maximum protection for your vehicle.

As you may know, Chinese products were once associated with low prices and poor quality. However, as times have evolved, China has managed to break free from that stigma by introducing high-quality cars that meet customer expectations.

The protection in question is not just the warranty provided by the car manufacturer, but also a reliable Vehicle Insurance that safeguards against various risks while driving.

The product we recommend is SmartDrive Vehicle Insurance, a flagship solution from PT AXA Insurance Indonesia (AXA Insurance) for vehicle protection. This insurance covers your beloved car against losses caused by accidents and provides protection against breakdowns, scratches, dents, lost keys, theft, and other unexpected incidents while on the road.

Just as it’s important to understand the background of Chinese car dominance in Indonesia’s market, it’s equally crucial to choose the right Vehicle Insurance so you don’t make the wrong decision.

We hope this information is useful, let’s protect your car with AXA Insurance today!

Reference:

● https://otomotif.kompas.com/read/2025/11/07/184709015/mobil-china-mulai-mendominasi-asia-afrika-dan-amerika-latin

● https://shiftindonesia.com/mobil-china-kian-padati-pasar-otomotif-ri/

● https://www.gaikindo.or.id/strategi-china-bersaing-di-industri-otomotif-dunia/

● https://www.idntimes.com/automotive/car/daftar-kekurangan-mobil-china-pahami-dulu-sebelum-membeli-c1c2-01-spf5w-669lrj

● https://cintamobil.com/pasar-mobil/10-kelemahan-mobil-china-yang-perlu-anda-ketahui-aid18543

● https://www.carmudi.co.id/journal/kelebihan-kelemahan-dfsk-glory-560/

● https://www.asukacartv.com/mobil-china-favorit/

● https://www.beritasatu.com/ototekno/2939428/10-mobil-asal-china-yang-paling-laku-keras-di-indonesia-pada-2025

The Reasons Behind Chinese Cars Dominating the National Market: Attractive Quality and Price

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