Astra Honda Motor (AHM) Denies the Practice of Matic Scooters Cartel with PT Yamaha Indonesia Motor Manufacturing (YIMM)

By : Wiyanto, Dhiyan And Aldi Firhand. A | Saturday, December 23 2017 - 15:31 IWST

Alleged Automatic Scooter Cartel by Honda and Yamaha (beritaoto.com)
Alleged Automatic Scooter Cartel by Honda and Yamaha (beritaoto.com)

INDUSTRY.co.id - Semarang - questioned the allegations of the Business Competition Supervisory Commission (KPPU) which was confirmed by North Jakarta District Court (Jakut) about the conspiracy of motorcycle scooter price of 110 to 125 cc between Honda and Yamaha, David Budiono Production, Engineering, and Procurement Director PT Astra Honda Motor (AHM) strongly denied.

Because if the price conspiracy is made between the two brands, said David, then the market control will be experienced both.

"But what happened was Honda rose higher, while Yamaha declined," said David.

According to him, Yamaha market share in the domestic market last year was 23.5%, and decreased in the first half of this year to 22.7%. Compare with Honda which reached 74.6%.

"If we cooperate (determine the price), then both (Honda and Yamaha market share) should rise," said David in the Workshop Journalists Industry Astra International, 6-7 December in Semarang, Central Java.

However, David said the AHM still respect the decision of North Jakarta District Court, accompanied by a cassation appeal against the decision to the Supreme Court.

The legal action is planned to be taken in the near future.

"This is to uphold justice," he said.

Previously, KPPU has decided the practice of automatic scooter cartel by AHM and PT Yamaha Indonesia Motor Manufacturing (YIMM) in February.

KPPU punished Yamaha with a maximum fine of Rp 25 billion and Honda was given a sanction worth Rp 22.5 billion.

One incriminating evidence in this case is the electronic mail Yamaha Indonesia Marketing Director Yutaka Terada addressed to his team in 2014 ago.

In the e-mail, Terada asked Yamaha's marketing team to follow Honda's price movement.

The price adjustment was, according to Terada, as promised by Yamaha Motor Motor Manufacturing President Yoichiro Kojima at President Director AHM Toshiyuki Inuma.

It is agreed in a meeting on the golf course.

Feeling innocent, the AHM and YIMM objected to the KPPU's decision.

AHM's legal counsel, Ignatius Andy called the KPPU's decision wrong, because there is no direct evidence to indicate the price agreement between the two companies.

Honda and Yamaha are very competitive enemies. There is no benefit to us, as the ruler of the market, doing a cartel with Yamaha, he said some time ago.

This appeal did not work. The decision of the North Jakarta District Court Judge in the appeal hearing refused to revoke the KPPU's decision.

The Chief Judge Titus Handi also asked AHM and YIMM to pay a trial fee of Rp 726 thousand.

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