Indonesia to serve as car production, export base: minister

Jakarta (Antara News) - Industry Minister Fahmi Idris said Indonesia was expected to serve as a base for the production of export-quality cars to increase the country`s car exports in an effort to offset the gloomy market at home.

"Indonesia will export completely built-up (CBU) cars to Japan in the near future. This is quite meaningful to Indonesia because Japan is willing to receive cars with Japanese trade-marks produced in Indonesia," the minister said.

Fahmi Idris made the remarks after attending an "Avanza-Fortuner Export Event" organized by PT Toyota Motor Manufacturing Indonesia (TMMIN).

The minister said the increase in export of cars from Indonesia would indicate that the skill of Indonesia`s technicians and workers was equal to that of their counterparts in other car-exporting countries.

He cited as an example production and export of PT TMMIN cars that would commence this month would mark Indonesia`s increasing CBU car exports.

The minister said his ministry would therefore continue to encourage the export by taking special steps.

"The ministry of trade will map out the capacities of trade-mark holders in Indonesia, the results of which will be used as a basis for making policies in the automotive field in 2007," he said.

He said the results of the mapping out would also be used to evaluate the performance of the automotive sector in 2006 so that the market potential for CBU cars in 2007 would be known.

Meanwhile, President Director of TMMIN Hidematsu Ibaragi said TMMIN would export some 10,000 units of Toyota Fortuner cars per annum beginning in December 2006 to several Middle Eastern countries such as Saudi Arabia.

Hidematsu said TMMIN would also expand its Toyota Avanza marketing networks to include several parts of the world such as the Philippines, Oceania, the Middle East, South Africa, North Africa and Mexico.

"With this market expansion, the export volume of Toyota Avanza minibuses will increase to about 22,000 units per annum, as compared to that in 2005 which only stood at 2,000 units annually," Hidematsu said. (*)
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