Suzuki Motor to boost exports from Indonesia 45% by 2022
JAKARTA, NNA - Automaker Suzuki Motor Corp. plans to increase automobile and motorcycle exports from Indonesia, making the country its third largest production center after India and Japan.
Local subsidiary PT. Suzuki Indomobil Motor is targeting annual exports worth 11.3 trillion rupiah ($744 million) by 2022, up 45 percent from 7.8 trillion rupiah in 2017, Seiji Itayama, the subsidiary’s president, said on Monday.
“To achieve the target, we will push forward investment in human resources and equipment,” he said. The local unit plans to integrate all production at the main factory in Bekasi Regency, West Java Province.
Suzuki’s exports from Indonesia accounted for more than 30 percent of local sales since 2016 and the company will maintain that level, Itayama said. That share is much higher than in India, which is less than 10 percent of local sales, and about 20 percent in Japan.
Suzuki Indomobil Motor is now exporting the fully remodeled Ertiga multi-purpose vehicle and the Nex II scooter. The seven-seater MPV was released in Indonesia in April.
Last month, the subsidiary began exporting the Ertiga 2018 model to the Philippines and other Southeast Asian countries as well as Mexico and Chile.
By next March, it plans to ship a total of 12,000 units of Ertiga to 22 countries and regions including Latin America and Oceania, and 18,860 units of Nex II to the Philippines, Cambodia and other countries.
Suzuki Indomobil Motor saw a 12.4 percent year-on-year increase in new car sales in the first nine months of this year to 91,077 units, holding 10.6 percent market share, according to the Association of Indonesia Automotive Industries.
“We are initially aiming for a 15 percent share” in Indonesia, Southeast Asia’s largest automobile market, said Toshihiro Suzuki, president of Suzuki Motor.
Suzuki ranks fifth after Toyota, Daihatsu, Honda and Mitsubishi in the Indonesian market.