Honda Indonesia to resume complete vehicle exports to SE Asia

29, Mar. 2019

JAKARTA, NNA – Honda Motor Co. will resume the export of complete vehicles from Indonesia this year for the first time since 2014, making that country a production hub in Southeast Asia along with Thailand.

Honda will ship the latest model subcompact Honda Brio to the Philippines and Vietnam starting in the April-June quarter, the company said earlier this week. The carmaker has been exporting knockdown parts to Thailand for assembly.

The Philippines and Vietnam have high growth potential for compact, agile vehicles with spacious cabin and fuel efficiency, said Jonfis Fandy, marketing and sales service director at PT Honda Prospect Motor.

Honda’s annual four-wheeler production capacity in Indonesia is 200,000 units, compared to 270,00 in Thailand.

The company had previously exported complete vehicles from Indonesia, such as, the Honda Stream from 2003 to 2006 and the Honda Freed from 2009 to 2014.

“Indonesia is one of the important markets for Honda, and has become a major contributor to Honda's sales in the Asia and Oceania region,” Masayuki Igarashi, Honda’s chief operating officer for the region, told news media.

The Brio is the main model for Honda in Indonesia, with sales of more than 280,000 units since its launch in 2012.

PT Honda Prospect Motor introduced the second-generation Honda Brio last year with a more sporty design.