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General Motors to build plant in Bekasi

12th August 2011 | 10.270 Views
Surabaya, E Java (ANTARA News) - US automotive company General Motors (GM) is planning to build a plant in Bekasi, West Java, at a cost of US$150 million.

The plant was expected to start producing different types of passenger cars for the Southeast Asian market in 2013, the company said in a press release received here on Friday.

In the initial phase of operation, the plant to be built on 11 hectares of land would produce 40,000 cars per year and employ 800 workers, the company said.

GM President for Southeast Asia Martin Apfel said the Bekasi plant which would be the company`s third plant in Southeast Asia after Rayong plant in Thailand and Hanoi plant in Vietnam would play a strategic role in boosting growth in the region.

"The presence of the plant in Bekasi will attract domestic component supply basis and encourage expansion of GM local dealer networks," he said.

He added the decision to resume the plant in Bekasi was part of the company`s commitment to maintaining its strong manufacturing basis in Indonesia as well as in Southeast Asia.

Meanwhile, GM President Director for Indonesia Marcos Purty said the decision to build a new plant in Bekasi was a manifestation of GM`s support for Indonesia in view of its important role in the global business.

"To build and sell key products in Indonesia will enable us to maintain the growth of this important market. This will also support domestic economic growth and automotive industry," he said.

Last year, GM saw the sales of cars of all types in Indonesia grow 72 percent or reach 4,500 units.

In the first semester of 2011 the company`s car sales rose 18 percent from the same period last year which reached 2,500 units.(*)