VW Plans to Build Plant in Cikampek, West Java, Indonesia

 
 
 
 
 
 
 
 
 
 

 
Chief Executive Officer of PT Garuda Mataram Motor, Volkswagen sole agent in Indonesia, Andrew Nasuri, said that a Volkswagen plant was to be built in Bukit Indah, Cikampek. “The location has been decided but we’re still working on several matters,” said Andrew after officially opening a new Volkswagen dealer on Friday, May 10th 2013. Indomobil Group, VW venture partner in Indonesia have prepared land in Bukit Indah, Cikampek, West Java, covering an area of ??30 hectares.
 
According to Andrew, Volkswagen built a factory in Indonesia due to the country’s huge market potential. Last year’s Volkswagen have sold 1,200 units. “For this year, we aim to sell 3,000 units,” he said. 
 
The Germany Volkswagen team is currently in Indonesia to embark on cooperation with suppliers following the government’s regulation to require the company to use local components. Andrew said that Volkswagen is very careful in choosing its suppliers as it prioritizes product quality. Last year, Volkswagen once said that it would make an investment of US$ 140 million.
 
According to Andrew the factory construction would be done in the next 2-3 years and it would be a completely-knocked-down or assembling factory. So it will on production by end of 2015 or early of 2016.
 
Earlier this month (July 2013), the Volkswagen Group Development Coordinator, Ulrich Hackenberg said that, VW is developing a new model which made by mild steel and eco-friendly for new segment, which is the first car with has price tag of 6,000 euro (USD 76.7 million) per unit. This model was prepared for developing countries. "We want to have vehicles for family with price range between 6,000 to 8,000 euro," said Ulrich.
(Consulate General of Indonesia in Ho Chi Minh City from various sources)