Bakrie's component plant

Bakrie's component plant

JAKARTA (JP): Bakrie Tosanjaya, a subsidiary of Bakrie & Brothers, signed yesterday a joint venture agreement with Jidhosa Buhin Kogyo Co. Ltd. of Japan to build an automotive component plant in Kerawang, West Java, with an investment of US$4 million.

The new joint venture, which is 60 percent owned by Jidhosa Buhin and 40 percent by Bakrie, will produce ring gears for flywheels with an annual capacity of 720,000 units, Bakrie Tosanjaya said in a statement yesterday.

The statement said that 50 percent of the joint venture's production will be bought by Jidhosa Buhin and the other 50 percent will be sold on the domestic market. (04)