PT Terang Dunia Internusa, an Indonesian electric motorcycle producer, has signed a collaboration agreement with Atroniq Berhad, the owner of the United Motors brand, to open retail stores, assembly plants, distribution centers, and product services in Malaysia.
Terang Dunia Internusa was established in 1975 as an importer of bicycle spare parts from Taiwan. Over the years, they expanded their business, and in 1991, the first United Bike factory was established in Gunung Putri, Bogor, followed by the second factory in Citeureup, Bogor, in 2010.
In response to the rapidly growing trend of electric motorcycles and their decades of bicycle production experience, PT Terang Dunia Internusa launched United E-Motor, their first electric motorcycle product, at the end of 2020.
Up to this point, they have released four United E-Motor models into the market, including the T1800, TX1800, TX3000, and MX1200. In 2023, they opened their third factory in Curug, Tangerang, dedicated to producing electric motorcycles and electric bicycles.
Expansion to Malaysia tied to consumer spending and retail trend
The signing ceremony was attended by Minister of Transportation Budi Karya Sumadi and Deputy Minister of Trade Jerry Sambuaga on September 11, 2023.
“This is the realization of the ‘Proudly Made in Indonesia’ program and the ‘Indonesia Brands Go Global’ initiative, as well as a follow-up to the Memorandum of Understanding and Cooperation Agreement between HIPPINDO (Association of Indonesian Shopping Center Retailers and Tenants) and the Ministry of Trade,” Jerry stated on September 12, 2023.
Jerry highlighted that consumer spending in Malaysia is projected to continue increasing, with a growth rate estimated at 8.21%. This aligns with the projected trend of retail sales at 5.32%.
In Malaysia, the retail service industry is one of the largest contributors to Malaysia’s GDP, mainly dominated by food and beverage products. Some prominent retail companies in Malaysia include B.I.G. Store, 7-Eleven, MJ Dept Store, Tesco, and AEON.
Domestic sales and export trend
Meanwhile, the Indonesian Motorcycle Industry Association (AISI) reported that Indonesian motorcycle exports increased monthly in February 2023. However, domestic motorcycle sales witnessed a decline.
In February 2023, domestic motorcycle sales reached 575,502 units, marking a 6.48% decrease compared to January 2023 when sales reached 615,416 units. Nonetheless, in a year-on-year comparison, domestic motorcycle sales in February 2023 increased by 56.33% compared to February 2022 when sales amounted to 368,131 units.
On the other hand, monthly exports of Indonesian motorcycles saw a 16.19% increase, rising from 39,269 units in January 2023 to 45,627 units in February 2023. However, in a year-on-year comparison, motorcycle exports from Indonesia decreased by 23.36%, down from 59,542 units in February 2022 to 45,627 units in February 2023.
