Suzuki Invests $800 Million in Indonesia

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This is information by M S Hidayat, Indonesian Minister for Industry told local reporters. According to M S Hidayat, Suzuki will make Indonesia a major export hub for both cars and motorcycles. Central to this strategy is a new assembly plant in West Java by the end of 2012.

Expected, car production capacity at PT Suzuki Indomobil Motor, which is 90% owned by Suzuki Japan, will almost double to around 220,000 cars per year. The current plant located in Bekasi, 30 miles east of Jakarta, has a production capacity of 120,000 cars per year. According to Minister of Industry, the plant will be expanded in the future strategy of Suzuki.


Meanwhile, according to Budi Darmadi, director general of the ministry's automotive department, part of the investment will go toward expanding engine production capacity in Bekasi, as well as a vehicle design and styling center.

The new plant is expected to produce the new R3 for the Southeast Asia market, including Thailand. Currently, Suzuki is exporting CKD kits to markets such as Myanmar, Vietnam and the Philippines.