Sun, 19 Sep 2010

Jakarta (ANTARA News/Asia Pulse) - US heavy equipment maker Caterpillar Inc. wants to build a heavy equipment factory in Java with an investment of up to US$500 million, an Indonesian official said.

It would be the first heavy equipment manufacturer in the country, Gita Wirjawan, head of the Capital Investment Coordinating Board (BKPM) said.

Production facilities currently operating in the country for heavy equipment including Caterpillar are all assembly plants. Wirjawan said the government is working on the incentives to be offered for the Caterpillar project, which has asked for a tax holiday.