Consumer Electronics Segmentation in Indonesia and Its Growth

[BRIEF]

The consumer electronics market in Indonesia is growing rapidly due to its 64 million households. In 2020, the revenue reached $5.553 billion, with a YoY growth of 39.4%. Projections until 2025 indicate an annual growth rate of 12.2%, with the market reaching US$9.881 billion. High-income consumers are the primary buyers. However, electronic product imports remain high in 2022, reaching $25.5 billion, with 53% consisting of electronic and telematics industry components, due to some domestic production issues.

• Compared to the industrial electronics and electronic components segments, the consumer electronics segment in Indonesia is the most rapidly growing. This is largely due to the large market with 64 million households.

• In 2020, revenue from this segment reached $5.553 billion, showing a 39.4% increase compared to the previous year. This segment is expected to grow at an annual rate of 12.2% from 2020 to 2025, with the market volume reaching US$9.881 billion at that time.

• Buyers with monthly household incomes exceeding IDR10 million ($690) are the largest consumers of consumer electronic products, including audio and video electronics, household appliances, and mobile phones or smartphones.

• Indonesia still imports a significant amount of electronic products in 2022, amounting to $25.5 billion.

• About 53%, or $13 billion, of the total imports consist of components for the electronic and telematics industry. Indonesia continues to import these electronic commodities due to some critical issues.