JAKARTA (TheInsiderStories) — Japan’ automotive company, Mitsubishi Motors Corp., has committed to invests around Rp11.2 trillion (US$777.78 million) in Indonesia, said the minister of industry, Agus Gumiwang Kartasasmita, virtually on March 10. The funds allocates until 2025 with a projection of an increase in production capacity to 250,000 unit per annum from 220,000 units per year.
During the meeting, he also encouraged Mitsubishi to export cars to Australia, given the cooperation agreement between the two countries. The automaker will also develop two models of electric vehicles and committed to providing additional export permits to nine countries to 39 destination countries.
Mitsibishi’ stepped followed by other Japanese car-maker, Toyoto Motor Corp., and South Korea’ firm, Hyundai Motor Corp. End of last year, Toyota has announced is preparing an investment fund up to $2 billion in indonesia until the next five years. The commitment delivered in the virtual meeting between the CEO Asian Region, Yoichi Miyazaki, with senior economic minister, Airlangga Hartarto.
The company plans to create an EV Smart Mobility project as part of supporting the use of the car in the eco-tourism ecosystem in Nusa Dua, Bali. The manufacturer will collaborate with the Indonesia Tourism Development Corporation in this project.
He stated, “In the next five years, Toyota has prepared 10 types of electric vehicles for Indonesian consumers. In our business development plan, Toyota prepares Indonesia to become an export hub for Toyota products, not only for the ASEAN region but also for other destination countries.”
Its unit PT Toyota Motor Manufacturing Indonesia announced to start the EV production in its factory located in Karawang, West Java. Oresident director, Warih Andang Tjahjono, said a change in the production line is required to run the planned. The auto company is attempting to produce hybrid vehicles in Indonesia and expect to produce the hybrids car starting 2022 with sport utility vehicles and multipurpose vehicles as a start.
While, Masayoshi Son, the founder of Japanese technology investment giant Softbank Corp., plans to pledge at least $2 billion to support online-based mobility solutions and the development of electric vehicles in Indonesia through Grab Indonesia. Then, Blue Bird Group, the country’ largest taxi operator, resorted to importing Tesla and BYD cars from China to establish its first fleet of electric vehicles.
President Joko Widodo has desired to make Indonesia as an EV hub for Asia and beyond with a target to start the production in 2022 and the share to reached 20 percent of total car production by 2025. Beside Toyota, South Korea’ Hyundai Motor also aimed to invest $880 million in the country to develop EVs in years.
The government is targeting to export 1 million cars by 2025 from this year target 340,000 units, said the minister.
Written by Editorial Staff, Email: theinsiderstories@gmail.com
