Related
articles
- Indonesia Set to Be Region’s Car King
- World’s Cheapest Car to Be Made in Indonesia: Report
- Car Sales Rise 12% Despite Japan Blip, Gaikindo Says
- Chinese Carmaker BYD Makes Top-Gear Debut in Shenzhen
- Indonesia’s Growth Potential Putting Automakers in Gear
US
automotive giant Chrysler is planning to spend $100 million in the next three
years to expand its business in Indonesia, capitalizing on the fast-growing
demand for premium cars, a company executive said on Friday.
The
Detroit-based Chrysler will use the funds to open 18 dealerships across the
country, said Ferial Fahmi, president director of Garansindo Inter Global, the
sole licensed distributor of Chrysler cars in Indonesia.
“Since
2009, we have spent $10 million to open five dealerships across Jakarta,
Surabaya, and Bali. We want to have 23 dealerships across Indonesia in the next
three years,” he said .
Chrysler
may also be looking to open a factory in Indonesia, he said, but did not
elaborate.
Speaking on
the sideline of the 19th Indonesian International Motor Show, Ferial said the
expansion was aimed at boosting Chrysler’s market share in the premium segment
in Indonesia. “We’re hoping we can become one of the top two brands in the
premium segment,” he said.
In
Indonesia, Chrysler plans to sell brands including the Chrysler 300C, Cabriolet
Sebring, the Dodge Journey and Jeep models Wrangler Sahara, Wrangler Rubicon
and Patriot. The brands are all completely built-up units.
According
to the Indonesia Car Industry Association (Gaikindo), an estimated 5,000
premium cars were sold last year. The segment is currently dominated by
European car makers, including BMW and Mercedes Benz.
Ferial said
that Garansindo Inter Global was on track to reach its sales target of 700
units this year.
Meanwhile,
Panggah Susanto, director general for manufacturing industry at the Industry
Ministry, said Chrysler was considering opening a factory in Southeast Asia.
“Meeting
with Peter MacKenzie [Chrysler’s Southeast Asia regional manager] on Thursday,
he said the company was looking to build a manufacturing base in Southeast
Asia,” Panggah said. “Indonesia is one of the countries they are eyeing.” No
further details were provided on the development of a manufacturing plant.
Industry
analysts welcomed plans by Chrysler and other global automotive producers to
consider setting up manufacturing plants in Indonesia as a show of confidence
in the automotive industry in the country. Car makers ranging from Indian
low-cost manufacturer Tata Motors to premium brand BMW have stated an interest
in expanding their business here.
It was
revealed on Thursday that Tata had launched a feasibility study into the notion
of opening a factory to produce its Nano model in Indonesia.
Astra
Daihatsu Motor, the sole distributor of products from Japanese firm Daihatsu,
has announced a Rp 2.1 trillion ($246 million) investment plan to build an
80-hectare factory in Karawang, West Java, to raise annual output to 430,000
units.
The BMW
group has announced it would be spending Rp 100 billion to double its capacity,
while Suzuki has announced an $800 million expansion over the next two years.
As many as
32 authorized sole license holders and 227 automotive-related industries are
participating in the motor show at Jakarta International Expo in Kemayoran.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.