House supports national car<\/p>\n
JAKARTA (JP): House Commission V for industry and trade has
\nsuggested that the government save the national car project
\ndeveloped by PT Timor Putra Nasional from bankruptcy and bring in
\nnew investors to continue the project.<\/p>\n
\"However, Hutomo Mandala Putra, the youngest son of former
\npresident Soeharto, should sell his shares in the project,\"
\nAnthonius Rahail of the commission said in a statement after a
\nmeeting with Minister of Industry and Trade Rahardi Ramelan last
\nweek.<\/p>\n
Rahail said the commission learned during a recent visit to
\nthe Timor car project in Cikampek, West Java that the company had
\ninvested US$455.8 million in the car assembly project, a big
\nportion of which was derived from state banks.<\/p>\n
The national car project, formerly developed in a joint
\nventure with South Korean KIA motors, is now in deep trouble as
\nTimor Putra failed to achieve the local content requirement set
\nby the government as a precondition to its exemption from import
\nduties and a luxury sales tax.<\/p>\n
Consequently, the company was required by the government to
\npay all import duties and luxury sales taxes which were waived
\nfor its imports of built-up cars from Korea between 1996 and
\n1998.<\/p>\n
The case is pending a court decision.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/house-supports-national-car-1447893297", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }