Japanese bearing maker NTN to make joints for FWD cars in Indonesia
JAKARTA, NNA - Japanese bearing maker NTN Corp. will establish a joint venture with a local firm under Indonesia's largest auto parts maker Astra Group to produce joints for front-wheel-drive cars.
PT. Astra NTN Driveshaft Indonesia will start producing constant velocity joints in August next year at a plant in an industrial park in Karawang Regency, West Java Province, the Japanese company said Friday.
Local demand for the essential component for front-wheel-drive vehicles is “expected to increase rapidly” because of a shift from axle-suspended rear-wheel drive vehicles in the Southeast Asian country due to various environmental regulations, the company said in a statement.
“We will supply the parts mainly to Japanese automakers such as Toyota and Daihatsu,” an NTN spokeswoman in Tokyo told NNA.
The new venture with a registered capital of 120 billion rupiah ($8.4 million) is owned 51 percent by the Indonesian partner PT. Inti Ganda Perdana and 49 percent by NTN.
In Southeast and South Asia, NTN produces constant velocity joints in Thailand and India, according to the statement. (NNA/Kyodo)