Indonesia Urged to Expand Toyota Double-Cab Exports to Australia

Indonesia Urged to Expand Toyota Double-Cab Exports to Australia. (illustration image source: Pexels/ Thái Trường Giang)

JAKARTA, JakartaWeekly.com—The Ministry of Industry has urged PT Toyota Motor Manufacturing Indonesia (TMMIN) to tap into the Australian automotive market, citing its significant potential.

Industry Minister Muhammad Sarmuji said the government had asked TMMIN to increase car exports from Indonesia by expanding its model lineup and destination markets.

“For example, Australia still sources many of its vehicles not from Indonesia, but from our neighboring country [Thailand],” he said in Jakarta on Tuesday, October 27, 2026.

He said Indonesia should be exporting more vehicles to Australia than Thailand for several reasons. First, geographically, Indonesia is much closer to Australia than Thailand is.

Second, Indonesia already has a trade agreement with Australia, which could make shipping costs more competitive than those from Thailand.

“However, it has been pointed out that Australia imports a lot of double-cab pickups. We have also suggested that these vehicles could be produced in Indonesia,” he said.

He added that the government could improve the automotive ecosystem for double-cab pickups if necessary to support exports of these vehicles to Australia.

At the same event, TMMIN President Director Nandi Julyanto said government policies were needed to support the company in shipping double-cab pickups to Australia.

“The minister has requested that we produce them in Indonesia. As we have repeatedly explained, the ecosystem is already in place there, and the free trade agreement is already in effect. Therefore, if no policy is in place, we would also ask the government to introduce policies that support us in doing so,” he said.

He said the free trade agreement between Indonesia and Australia meant that the costs associated with production and exports to Australia were not significantly different from those in Thailand.

Nevertheless, he said, all parties needed to consider the impact on the industry. Based on that assessment, the government could introduce the policies deemed necessary.

He said the relatively small cost difference between Indonesia and Thailand had prevented the principal from relocating double-cab pickup exports from Thailand to Indonesia.

“This is why supporting policies are needed to encourage that shift,” he said.

He noted that shifting exports from Thailand to Indonesia would require the principal’s approval because it involved allocation decisions.

Also speaking at the event, TMMIN Commissioner Jap Ernando Demily said management needed to review the overall ecosystem for double-cab pickups before proceeding with production for export.

“And that is what we will do going forward,” he said.

Jap, who is also vice president director of PT Toyota-Astra Motor, said the domestic market for double-cab pickups was currently performing well. According to him, the company’s double-cab pickup market had been growing.

He attributed the growth to demand from the mining and plantation sectors.  “So far, Toyota has been able to provide products and services that are well suited to the double-cab pickup market,” he said.

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