Astra Daihatsu Starts Constructing USD 190 Million Car Assembly Plant in Indonesia

March 2023

Astra Daihatsu Motor, a joint venture between Japan’s Daihatsu and Indonesian conglomerate Astra International, has begun constructing a new automobile assembly plant in Indonesia, according to a statement released in February 2023. The new plant will be situated in East Karawang, in West Java province, and will have an anticipated annual production capacity of 140,000 cars. It will necessitate a total investment of about IDR 2.9 trillion (USD 190 million). The plant will be responsible for manufacturing Daihatsu’s multi-purpose vehicles (MPVs) and sports utility vehicles (SUVs), which include models like Avanza, Xenia, Terios, and Rush.

Although the company has not announced a specific date for the start of production, it aims to finish constructing the new plant in Karawang by December 2024. This new facility will replace Astra Daihatsu’s existing factory located in Jakarta, becoming the company’s second plant in the area. The first plant was built in 2011.

The new plant is expected to enhance various aspects of production activities. Equipped with advanced technology, it will provide a safer and more comfortable working environment for employees and facilitate faster delivery times. Additionally, the plant is designed to be environmentally friendly, utilizing renewable energy to reduce carbon emissions by up to 20%.

(Sources: The Jakarta Post, Kontan, and The Business Times)

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