Indonesia Automotive Industry Grows Rapidly

By : Ahmad Fadli And Aldi Firhand. A | Thursday, April 19 2018 - 21:14 IWST

President Jokowi with Menperin opened IIMS 2018 (dok Industry.co.id)
President Jokowi with Menperin opened IIMS 2018 (dok Industry.co.id)

INDUSTRY.co.id - Jakarta - Minister of Industry Airlangga Hartarto said that Indonesia's automotive industry is growing rapidly with a very significant contribution to the national economy.

"This can be seen from the production figures of four-wheeled vehicles which increased to 1.216 million units in 2017 from 1.177 million units in 2016," Airlangga said in Jakarta on Thursday (19/4/2018)

Minister of Industry conveyed that when giving speech at the opening of Indonesia International Motor Show (IIMS) 2018 at Jakarta International Expo, Kemayoran, Jakarta.

According to Airlangga, the rapid growth of the automotive industry is also reinforced by an increase in exports of 231,000 units of unified vehicle units (CBU) in 2017 from 194,000 units in 2016.

He said exports of automotive parts increased 13 times to 81 million components in 2017 from 6.2 million components in 2016.

"The sector also provides employment opportunities to more than 1.5 million people, distributed in various jobs ranging from the assembly industry, first, second and third tier components, to the workforce at the official workshop level," Airlangga said.

Through effective government regulation, he added, the addition of new investment and expansion, and adoption of the latest technology, is expected to create a conducive business climate.

"It can create a production target of 1.5 million units by 2020," he concluded.

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