Sign up | Log in



Home  >>  Daily News  >>  Indonesia News  >>  Automotive  >>  Indonesia’s growth potential attracts Indian car firms

NEWS UPDATES 25 July 2009

Indonesia’s growth potential attracts Indian car firms 

Related Stories

July 22, 2009
Chinese investors eye Indonesian car market

June 21, 2009
Indonesia car sales may decline 25% this year

June 18, 2009
Indonesia sees FTA with Japan to boost autoparts shipments

May 26, 2009
Crisis cuts Indonesia automotive jobs by 20%

May 12, 2009
German car maker picks Indonesia to launch SE Asia expansion

January 12, 2009
Indonesia’s car sales seen down 30% in 2009

December 8, 2008
Indonesia govt concerns over mass layoffs in car industry 

September 17, 2008
Indonesian car sales up 41% in August

Two Indian automakers, Tata Motors Limited (TML) and Mahindra and Mahindra Limited (MML) (BSE:500520), are interested in investing in Indonesia, Indonesian state news agency Antara quoted an Indian auto industry official as saying.

The director general of the Society of Indian Automobile Manufacturers (SIAM), Dilip Chenoy, made the statement at the 4th Indonesia Automotive Conference in Jakarta on Thursday.

Indonesia is one of three countries in the world that have recorded growth and its market is also developing, he said.

"This condition has made the two Indian automotive manufacturers interested in investing here. The two are Tata and Mahindra. They are now still studying the Indonesian market," he said.

TML`s senior general manager of government affairs and collaboration, AS Puri, said the decision that would be taken would be determined by the results of feasibility studies and the government`s response.

"The Nano car will be one of the potential products but in all we have a variety of models from the smallest to commercial types," he said.

Puri said the study would take three to six months and its result would also determine the type of cars to be produced.

"If it is realised, production will also be aimed at exports to other Southeast Asian countries," he said.

The chairman of the Association of Indonesian Automotive Industries (Gaikindo), Bambang Trisulo, said the investment by one company potentially could reach Rp2 trillion ($41.5 billion) for a capacity of 100,000 units a year.

"I do not know when it will be realised. It all depends on them. We hope it will be soon or this year if possible," he said.

Tata Motors had so far expanded into the Asean market by establishing an assembly plant for commercial car types in Thailand. The plant has an annual production capacity of 25,000 units with a total investment of 1.5 billion baht.

"We have started operating in Thailand since the middle of 2008. In 2008 we sold 1,000 units of pick-ups in Thailand," Thailand Tata Motors` chief executive officer Ajit Venkararaman said. Ajit admitted he was seeking a partner in Indonesia to enter the Indonesian market.



Comment on this Article. Send them to
Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below 




1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

| Terms of Use | Site Map | Privacy Policy  | DISCLAIMER |

Version 5.0
Copyright © 2006-2019 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand