Business

Schneider Electric to build
new plant

JAKARTA: A local unit of French electric controls and equipment manufacturer Schneider Electric will build a new plant in Cibitung, West Java, with construction scheduled to begin in early 2012, a company executive says.

The plant will add to the three existing plants in Cikarang and Pulogadung in East Jakarta, and in Batam Island.

PT Schneider Electric Indonesia president director Riyanto Mashan said on Tuesday the new plant would absorb new jobs. “Our current plants in Cikarang, Pulogadung, Batam employ 4,000 workers. The new plant will employ more workers, although we have not yet calculated the number,” he said.

Riyanto declined to disclose the sums invested in the new plant.

Henri Lachmann, chairman of the supervisory board for Schneider Electric, said the new plant construction was very strategic as it would operate to meet the demands of the Indonesian market as well as the basis for exports to the Asia Pacific and Middle East markets. At present, the Indonesian plants export their production to ASEAN countries, the US and Europe. “At least 75 percent of our production here is for the export market,” Henri said.

Indonesia will be the largest operation for Schneider Electric in the Southeast Asia region, and the third largest in Asia after China and India, according to Henri. /fem

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