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Jakarta Post

GM boosts presence in MPV market

United States-based automaker General Motors recently launched commercial operations at the company's new assembly plant in Bekasi, West Java, to further strengthen the company's presence in Indonesia, which the firm regards as one of the major automobile markets in Asia

The Jakarta Post
Jakarta
Fri, April 26, 2013 Published on Apr. 26, 2013 Published on 2013-04-26T11:55:42+07:00

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nited States-based automaker General Motors recently launched commercial operations at the company's new assembly plant in Bekasi, West Java, to further strengthen the company's presence in Indonesia, which the firm regards as one of the major automobile markets in Asia.

General Motors Indonesia (GMI) marketing director Yuniadi Haksono Hartono said in Jakarta on Wednesday that the company had invested US$150 million in the new assembly plant, which manufactures its latest multi-purpose vehicle (MPV), the Chevrolet Spin, especially designed for Southeast Asia and South Africa.

'Indonesia is on the list of our priority countries. I can't give the exact position but it is one of the countries with major potential for us,' he said.

Earlier during a visit in February, GM Southeast Asia operations president Martin Apfel told reporters that the assembly plant in Bekasi would have a production capacity of up to 40,000 cars a year, 20 percent of which would be supplied to five other countries including the Philippines, South Africa and Thailand.

The construction of the plant was completed in July last year and is dedicated to manufacturing the Chevrolet Spin with a production speed of 10 cars per hour. Production is set to increase with the hiring of additional workers.

The Chevrolet Spin is an MPV with capacity for seven passengers. Three models are available: two gasoline-based cars with 1,200cc and 1,500cc engines, and a diesel-based car with a 1,300cc engine with fuel efficiency of 14 kilometers per liter. The Spin is expected to be able to compete in the mushrooming MPV market in Indonesia with on-the-road prices starting from Rp 139.7 million ($14,369).

Yuniadi said the Chevrolet Spin had a good opportunity to compete in the MPV segment, which accounts for around 30 percent of total car sales in the country and is currently dominated by Japanese brands.

'We want to give people more choice for MPVs besides the existing ones. We want [our car] to be loved by people. I believe that once we have a place in people's hearts, we will gain a greater market share in the auto market,' he explained.

According to figures from the Association of Indonesian Automotive Manufacturers (Gaikindo), Toyota remains the top brand in the car market with total sales of 104,073 in the first quarter of this year, 47 percent of which were Toyota Avanzas. Other top players are Daihatsu with sales of 42,197 and Suzuki with 36,237.

Meanwhile, according to GMI public relations director Maria Sidabutar, Chevrolet recorded total sales of 5,700 cars last year, a 17 percent increase from the previous year, and to which sport utility vehicle (SUV) the Chevrolet Captiva and Aveo were the biggest contributors.

'We can't yet divulge the number of total sales in this first quarter, but it is moving upward,' she said. (koi)

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