automotive

Perfect Safety Strategy (SMSM) When Exporting Components Affected By Trump Tariffs

Automotive component issuer, PT Selamat Sempurna Tbk. (SMSM) is currently planning a strategy when the company's export sales to the United States (US) are affected by US President Donald Trump's policy of imposing a 32% import tariff on Indonesia. SMSM Deputy President Director, Ang Andri Pribadi said that the company has prepared various strategies to anticipate the impact of Trump's tariffs. "Regarding Trump's policy, currently, SMSM is preparing steps to deal with this policy, including re-evaluating its export business strategy," Andri told Bisnis, Tuesday (8/4/2025). He further said that the company will seek and consider alternative export markets. Not only that, SMSM will increase efficiency so that the selling price is more competitive. 

"We will also look for opportunities for collaboration or cooperation, especially through regions with lower tariffs," he said. According to him, the government can consider combining offensive strategies through lobbying and trade diplomacy, as well as defensive strategies, namely strengthening the domestic industry. 

This aims to ensure that the national automotive component industry remains competitive and survives amidst the threat of global protectionism as a global reaction to Trump's policy. "Because the US is one of SMSM's main export destinations with a value of around 9.8% of total consolidated sales in 2024," Andri explained. Referring to SMSM's financial report, the automotive component issuer's net sales increased by 1.11% year-on-year (YoY) from IDR 5.1 trillion in 2023 to IDR 5.16 trillion in 2024. That means, SMSM's automotive component export contribution to the United States was IDR 506.16 billion throughout 2024. Meanwhile, the company's net profit was IDR 1.02 trillion in 2024, 8.27% higher compared to the same period last year. For information, Selamat Sempurna's export destination countries include the United States (US), Australia, Malaysia, Thailand, Japan, France, Singapore, Belgium, and Germany. Selamat Sempurna already has a radiator factory located in Kapuk, North Jakarta, and a filter and other production facility in Tangerang. The filter production capacity is 96 million pcs per year, while the radiator is 1.95 million pcs per year. SMSM component brands have been registered in 130 countries worldwide. SMSM's various products include Sakura oil filters, ADR air filters, and several other products, such as dump hoists, coolants, and brake parts. 

Tag: Automotive SMSM Trump Tariffs