Volkswagen To Build First Assembly Plant In Indonesia
Indonesia's blooming demand is keeping it attractive for foreign automotive companies
Volkswagen AG is planning to spend $140 million in the next two years, to build its first assembly plant in Indonesia, reported Bloomberg.
The German automaker earlier said that the planned facility, an hour east of Jakarta, would initially manufacture several hundred passenger cars starting this summer, with output being steadily increased thereafter.
The automaker would start assembling the Touran, a compact multipurpose vehicle, at the new facility. Muhammad Lutfi, Head of Indonesia's Investment Coordinating Board, said that manufacturing multi purpose vehicles in Indonesia is 30% cheaper than in other Southeast Asian nations because of government tax breaks.
Volkswagen said that it would use the Indonesian plant to export to countries in Southeast Asia.
Related Insight
Suppliers Directory
Auto Components Chassis & Suspension Powertrain Paints & Materials
Technology Automobile Technology Testing
Leasing & Insurance
Supply Chain Automobile Distribution Fleet Management
Green Technology Green Vehicles Green Powertrain
Intelligence
“Competing For Share Of Global Automotive Industry Spend In 2010-2011” is a new report published by ICD Research that analyzes how industry suppliers’ media spend, marketing and sales strategies & practices and business planning will be shaped in 2010 to 2011. In an uncertain economic climate this report gives you access to the media channel spending outlooks, media budgets, marketing agency selection criteria, business challenges and sales tactics of leading suppliers to the chemicals industry. The report also identifies automotive manufacturers and suppliers future growth, M&A and investment expectations. The research is based on an extensive survey of senior and C-level industry executives from our market leading panels. Reports Buy online from $2000
Comments may be moderated for spam, obscenities or defamation.