Indonesia Automotive Industry Keeps Prosperous, Driving Auto Parts Investment

2011-08-05

Sudirman MR, President of Association of Indonesian Automotive Industries (GAIKINDO) said that the automotive industries have considerably benefited Indonesian economic development for the past five years, creating many job opportunities. The production capacity of Indonesia PT. Astra Daihatsu Motor will increase from 0.33 million units in 2010 to 0.43 million units in 2012. The development of automotive industries also drives the investment in the related parts. In addition, Indonesia PT. TOYOTA Astra Motor invested by Japan has offered 16.5 billion Japanese yen additional share in a short period in order to increase 40,000 units production capacity. The production goal of PT. TOYOTA Astra Motor in 2013 is 140,000 units. As reported, Suzuki Motor will invest USD0.8 billion in establishing a new facility in West Java in the upcoming years, intending to double the production capacity of the motorcycles and automobiles. Moreover, Nissan Motor has reported to the Ministry of Industry, Indonesia that it will offer USD0.312,5 billion additional share during 2011 to 2013 to boost its car production. GAIKINDO predicts that the car sales volume of 0.83 million units this year will grow 11.5% in comparison with 0.744,895 million units last year.