Indonesia to Welcome New Factories from 60 Foreign Manufacturers
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Jumat, 10 Mei 2013 17:24 WIB
TEMPO.CO, Jakarta - Budi Darmadi, director general of high technology-based Industry at the Industry Ministry, said that 60 foreign component manufacturers will invest in Indonesia this year. "When this is actualized, Indonesia will have 1,400 components factories," Budi said after inaugurating a General Motors assembly in Bekasi, Wednesday, May 8.
This year, investment in the components sector is estimated at US$700 million. According to Budi, the companies will produce fast moving parts such as engine parts, spark plugs, bears and or body parts. Despite being a fairly massive type of investment, he believes that the foreign producers are not a threat to the domestic industry.
"Indonesia will benefit as the factories will create employment," he said.
In addition to component manufacturers, world-class vehicles manufacturers are also investing in Indonesia. One of them is the American General Motors, who is opening a plant worth US$ 150 million in investment in Bekasi.
Timothy E. Lee, Vice President of General Motors, said the plant will have a production capacity of 40,000 units per year, absorbing 700 employees. "This plant will support General Motors' market growth, which reaches 17 percent in Indonesia."
MARIA YUNIAR