Chinese cycles take on Japanese bikes in Indonesia

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Jakarta--Lower-priced Chinese motorcycles have been mounting aggressive ad campaigns in Indonesia to compete with Japanese bikes, which have long dominated the country's motorcycle market. Few Indonesians can escape seeing Chinese motorcycle brands such as Sanex, Jialing, Garuda and Jincheng being heavily advertised on TV, newspapers and magazines.

The Chinese motorcycles came to Indonesia only in late 1999 and early 2000, but their combined low prices and aggressive advertising campaigns have shown results. According to figures from the Indonesian Association of Advertising Agencies, in the first 11 months of 2000, Sanex spent $1 million on advertising, just under the amount Japanese brand Honda Astrea Supra spent in the first 10 months of last year. In the first 10 months of last year, Chinese brands accounted for 20% of motorcycle sales in the country.

Copyright February 2001, Crain Communications Inc.

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