Friday, October 20, 2006

Indian company plans to make motorcycles in Indonesia

The Jakarta Post, Jakarta

India's third largest motorcycle manufacturer, TVS Motor Company, hopes to start production in Indonesia next year.

The company is currently building a factory at the Surya Cipta Karawang industrial estate in West Java.

TVS sales and marketing director for Indonesia K Vijayakumar said in Jakarta on Wednesday the company's motorcycles would initially be marketed in Java and Sumatra.

Vijayakumar said the company would invest up to US$45 million for the construction of the factory in West Java.

The factory will have a production capacity of 300,000 motorcycles per year and a workforce of around 300.

"The launch of the products will be held in early 2007, he added.

Vijayakumar said the company would focus on the production of bebek (small engine capacity) and sports motorcycles at the new factory.

TVS president director B. L. P. Simha said the company was considering increasing investment in Indonesia, and making the country its production base for Southeast Asia

TVS Motor Company is the flagship company of India's TVS Group, which is made up of 30 companies with total assets of $2.2 billion and 45,000 employees worldwide. With more than 500 dealerships and 2,100 outlets across India, it is the seventh largest motorcycle company in the world.

Other motorcycle firms planning to enter the Indonesian market include Ian Piagio from Italy and Bajaj of India. (09)


Post a Comment

Links to this post:

Create a Link

<< Home