Agrinas Reveals Mahindra to Build Factory in 2027, Tata Motors to Follow in 2029

JAKARTA, KOMPAS.com – The commitment of Indian automotive brands to the Indonesian market extends beyond simply supplying vehicles for the Koperasi Merah Putih programme.

Behind the import cooperation carried out by PT Agrinas Pangan Nusantara, lies a medium-term investment commitment from Mahindra and Tata Motors, including the construction of factories and the strengthening of after-sales services in Indonesia.

The President Director of PT Agrinas Pangan Nusantara, Joao Angelo De Sousa Mota, said that the signed cooperation agreement is not just a large-scale vehicle purchase transaction. There is a clear follow-up commitment outlined in the cooperation document.

This means that Mahindra is not only supplying units but also preparing a service ecosystem. The presence of official workshops and dealer networks is part of the contractual obligation, so Indonesian consumers do not have to worry about maintenance or the availability of spare parts.

“Tata will also open a factory in Indonesia in 2029,” said Joao.

“This includes arrangements involving the assembly of complete knock down or semi knock down units, including spare parts and components for the promotion, marketing, distribution and sales of commercial vehicles in Indonesia,” he said.

This step is a signal that the cooperation is aimed at gradually increasing local content.

For Agrinas, the commitment to build factories and after-sales networks is an answer to public concerns about the long-term service of vehicles from India.

Joao believes that the entry of new players with direct investment can expand choices for consumers while encouraging a healthier competitive climate.