INDONESIA EXPECTED TO BECOME CAR PRODUCTION HUB

By Andi Abdussalam

Jakarta, March 9 (Antara) - Despite certain leading automotive industries' decision to close down factories in Indonesia, the country's automotive prospects seem bright and it may even become an ASEAN car production hub in the future.          PT Ford Motor Indonesia said last January that it planned to stop its operations in the country before the end of this year. This followed the closure of Proton of Malaysia and General Motors.          However, Ipsos Business Consulting company still sees bright future prospects. It said Indonesia still has the opportunity to become an automotive production hub for the ASEAN region and gradually replace Thailand as a car production base.          "This is evident from the output trend in vehicle production, policies, and infrastructure, which continue to undergo improvements followed an increase in production capacity, domestic consumption and export volumes," Marcus Scherer, head of the Global Automotive Sector of Ipsos Business Consulting, stated on Wednesday.          Industry Minister Saleh Husin shared the same optimism. He said last month that the Indonesian automotive industry is increasingly witnessing good growth as evident in the increasing investment by automotive factories.

IIMS SHOWCASES LATEST AUTOMOTIVE TECHNOLOGY

By Andi Abdussalam

Jakarta, Sept 24 (Antara) - The nine-day Indonesia International Motor Show (IIMS) 2013, being held at the JI-Expo Kemayoran, Central Jakarta, until September 29, 2013, is showcasing automotive products developed using the latest technology.           Johnny Darmawan, chief organiser of the IIMS 2013, who is also the co-chairman of the Indonesian Motor Vehicle Industries Association (Gaikindo), said this year's IIMS is an exhibition of the latest technological innovations in the automotive sector.           "We are showcasing the latest technological innovations in the automotive sector and intend to transform the IIMS into a platform for automotive experts to meet and exchange ideas," said Johnny. He expects this year's IIMS transaction to be higher than last year, when the value stood at Rp4 trillion.           Industry Minister MS Hidayat said the automotive exposition is expected to convey to the public that amid the economic slowdown, the real sector, particularly the automotive sector, is not adversely affected.           "I want to prove through this expo that the real sector, automotive in particular, is not disturbed," added MS Hidayat while receiving the organisers of IIMS 2013.           Darmawan pointed out that a total of 36 automotive agents and 276 supporting industries are taking part in the show, and there will be 300 exhibition stands.          Automotive companies taking part in the IIMS 2013 include Toyota, Honda, Mitsubishi, and Daihatsu.

CAR INDUSTRY MAY FACE SLOWDOWN NEXT YEAR

By Andi Abdussalam

Jakarta, Dec 12 (ANTARA) - Experts have predicted that the automotive industry will see slower growth next year due to rising wages, falling commodity prices, an increase in the minimum down-payment requirement for motor vehicles, and a protracted global economic crisis.          According to industry players, the Indonesian automotive market will grow at less than 10 percent in 2013.         "I think the market will grow but not at the current rate. It will very likely be below 10 percent per annum," said Rizwan Alamsjah, the executive marketing director of PT Krama Yudha Tiga Berlian Motor, Mitsubishi¿s sole agent in Indonesia, in Bali on Monday.          He noted that Indonesia might be able to maintain its economic growth rate next year, but it would face many challenges, such as weakening commodity markets, both at home and abroad.       Rizwan's opinion was shared by Prijono Sugiarto, the president director of PT Astra International. "Commodity prices are expected to drop while the global economic condition is unlikely to improve. Additionally, labour wages will increase, but the global market condition is deteriorating," he said while speaking at a workshop on automotive industry in Bandung, West Java, recently.