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Automatic scooters price might go down if the KPPU can prove manufacturers are fixing prices.

  25 Februari 2017 13:00

I was about to get an automatic scooter when I heard that theres an ongoing case between motorcycle manufacturers and The Commission for Business Competition Supervision.

The commission (KPPU) conducted an investigation on motorcycle manufacturers PT Yamaha Indonesia Motor Manufacturing (YIMM) and PT Astra Honda Motor (AHM) for alleged price fixing.

KPPU recently ruled the two companies guilty and imposed a sanction of Rp 25 billion fine for YIMM and Rp 22.5 billion for AHM for violating business competition ethics. Both companies said they will appeal against the ruling.

Though the legal process may still take a long time, KPPUs finding got me thinking.

KPPUs investigation found that the production cost of an automatic scooter is only around Rp 7.5 to 8.5 billion. Thus, with tax and other cost, consumers should be able to buy it with around Rp 11 million each.

So why do I have to pay close to Rp 16 million for a regular automatic scooter?

Or up to Rp 22 million if I want to pay in installments?

Indonesian Consumers Agency (YLKI) has urged the manufacturers to lower the price of automatic scooters. They even suggested consumers to take class action if KPPUs decision is deemed not enough, as the KPPU Head Syarkawi said, the fine would be the only thing YIMM and AHM give. The manufacturers have no obligation to lower their prices.

Now Im wondering whether getting a scooter now is a good decision. If KPPU manages to reveal the price-fixing scheme between manufacturers, scooter prices may go down. The last time KPPU investigated price-fixing schemes, airplane ticket prices and cellphone credits became much lower than it used to be. So, I dont think its wrong to hope for the same thing now.

But how long should I wait?

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