JAKARTA— Automotive component issuers have the potential to record positive performance with the momentum of Ramadan and Eid al-Fitr (Lebaran) 2026. Historically, the period leading up to the homecoming trip (mudik) period has been a seasonal catalyst, driving increased demand for spare parts and vehicle maintenance services.
Muhammad Wafi, Head of Research at Korea Investment & Securities Indonesia (KISI), explained that cyclically, the homecoming preparation period is always accompanied by a surge in demand for automotive components. Long-distance travel encourages vehicle owners to service and replace spare parts to ensure their vehicles remain in prime condition.
In addition to seasonal factors, government fiscal stimulus and greater money circulation among the middle class also support this sector. Maintained purchasing power opens up growth opportunities for issuers focusing on the aftermarket.
“With new vehicle prices still relatively high, the trend of maintaining older vehicles could be a growth engine for component issuers like AUTO or DRMA,” said Wafi on Thursday, February 19, 2026.
Aggressive Strategy in the Aftermarket
To maximize this opportunity, Wafi believes issuers need to accelerate their strategies in the aftermarket segment. Possible steps include strengthening distribution networks to retail workshops and offering promotional programs for homecoming service packages that are relevant to consumer needs.
Additionally, issuers like PT Astra Otoparts Tbk (AUTO) can optimize digital platforms to expand access to component sales. Digitizing distribution channels is considered capable of reaching a wider consumer base while improving operational efficiency.
Meanwhile, issuers already involved in the electric vehicle supply chain, such as PT Dharma Polimetal Tbk (DRMA), have the opportunity to capitalize on the momentum of Ramadan and Eid al-Fitr to increase awareness of component products supporting electric mobility. This aligns with the growing population of electric vehicles in the country.
Regarding the stock market, Wafi added that historically, automotive component sector stocks tend to start strengthening one to two months before Eid al-Fitr. “Market players have generally anticipated the potential increase in sales volume,” Wafi said.
He also assessed that component stocks are relatively more stable than authorized brand agent (APM) stocks. This stability is supported by a revenue base that relies not only on new car sales but also on the maintenance needs of existing vehicles. (KONTAN)
