ASIATODAY.ID, JAKARTA – PT Astra Daihatsu Motor (ADM) launched an investment of IDR 2.9 trillion to expand its factory in Indonesia.
ADM’s new Karawang Assembly Plan 2 (KAP2) factory is located in the Suryabuat Industrial Area, West Java.
Indonesian Minister of Industry Agus Gumiwang Kartasasmita really appreciates this investment. He also appreciated the principal company Daihatsu Motor Co., Ltd. which has given trust to ADM as a Daihatsu production base outside Japan.
“This investment of IDR 2.9 trillion shows confidence in Indonesia’s potential and prospects as a global automotive industry hub,” he said when inaugurating the factory, Thursday, February 27 2025.
With this investment expansion, ADM has demonstrated its commitment to developing the national automotive industry. Apart from that, ADM is also increasingly emphasizing its position as the largest automotive manufacturer in Indonesia, and the largest Daihatsu manufacturer outside Japan.
Through the expansion of this new factory, Agus hopes that ADM will continue to support local content policies, so that ADM will involve more Small and Medium Industries in Indonesia as part of the supply chain.
As part of the synergy with the Government’s program to reduce carbon emissions and strengthen Indonesia’s position in the global automotive industry, the Ministry of Industry continues to support ADM’s role in creating environmentally friendly vehicles and developing the latest technology that is more efficient and competitive.
“Basically, all technologies are competing towards creating more environmentally friendly automotive technology. “The Ministry of Industry provides opportunities for all types of automotive to develop according to market preferences, provided that we are equally committed that the products produced are more environmentally friendly,” said Agus.
President Director of PT Astra Daihatsu Motor Yasushi Kyoda explained that the new KAP2 factory produces LCGC collaboration models, namely the Daihatsu Ayla and Toyota Agya.
“This is an effort to meet domestic and global automotive market demand, as well as marking Daihatsu’s strategic step in increasing the contribution of exports of vehicles made in Indonesia to foreign countries. “This new factory is also designed to be able to produce future vehicles,” he explained.
The Daihatsu KAP2 2 factory has a production capacity of up to 140,000 units per year. Cumulatively, all ADM factories are capable of producing up to 530 thousand units of vehicles per year for domestic and global markets. This production capability is also supported by more than 1,700 suppliers, including 700 MSMEs, as well as a localization level of more than 80% for all vehicles produced.
“We are grateful to be able to open this new Karawang Assembly Plant 2 factory facility as a form of investment in future sustainability. We always strive to continue to innovate in manufacturing technology that is more productive and efficient, environmentally friendly, in line with the needs of the automotive industry and market which continues to develop. This factory upgrade is an important milestone for us towards the future, as well as a form of our commitment to sustainable cooperation with Indonesia,” added Kyoda. (AT Network)
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