PT Daihatsu Astra Motor (DAM), a local subsidiary of Japanese car manufacturer Daihatsu Motor Ltd., shipped its first car exports to Japan on Tuesday.

The shipment of the completely built up Daihatsu Grand Max marks the country's first step in exporting automotive products to one of the world's giants in the automotive industry.

Previously, Indonesia had only exported automobiles to Southeast Asia, the Middle East and South American countries.

DAM vice president director Sudirman MR said Tuesday the company would deliver 18,000 units by the end of the year, exporting some 1,500 units per month.

"With these cars meeting Japan's approval, we can be sure that the quality of our products has met global standards," Sudirman announced at a media conference.

The car's standards, he said, would be equal to those distributed in the domestic market.

"We are proud that 80 percent of the parts used to build the car are manufactured here," he said.

The Daihatsu Grand Max, categorized as a multi purpose vehicle (MPV), comes in two types and will be distributed in Japan under the Toyota brand. Toyota and Daihatsu are two of the many brands under the Toyota Group.

Prior to the export to Japan, DAM had already exported automobiles to other countries, including the completely knocked-down (CKD) Avanza -- 1,500 units to Malaysia and 800 to several African countries (per month). The completely built-up (CBU) Avanza was exported to Thailand and Brunei Darussalam. The company also exports the CKD Terrios to Venezuela, Sudirman said.

DAM's total production reached 211,000 units in 2007, up from 115,000 units in 2006. This year, the company expects to book Rp 17 trillion in revenue, up from Rp 13 trillion in 2007.

The Industry Ministry's director general of transportation and telecommunication industries, Budi Darmadi, praised DAM for the move, as the first automotive export from Indonesia to Japan.

"Japan is known for its tight quality regulations. So, if Japan accepts one of our products, there is a better opportunity for other domestic automotive products to enter the global market," he said.

According to the ministry's data, in 2007 Indonesia saw an 83 percent increase in sales of cars and car parts, from 30,000 units in 2006, to 55,000 in 2007, most of which were MPVs.

Last year's exports, he said, were worth US$2.1 billion, up from $1.7 billion in 2006.

"This year, we hope to export 80,000 units, worth around $2.9 billion," Budi said.

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