Automotive Industry Braces for Upcoming VAT Hike, Tax Surcharges

Weakened purchasing power, planned VAT hike, and additional tax surcharges will likely be headwinds for car and motorcycle sales next year.

Bisnis, JAKARTA — Automakers are reconsidering their optimistic sales target of 1 million units next year in light of potential headwinds, including the upcoming VAT hike to 12 percent and additional tax surcharges for local governments.

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