Indonesia barters aircraft for Malaysian cars
Indonesia barters aircraft for Malaysian cars
JAKARTA (JP): Malaysia and Indonesia signed counter-trade
deals here yesterday involving aircraft and automobiles worth
around US$ 100 million.
Indonesia's Minister of Research and Technology B.J. Habibie
and visiting Malaysian Minister of Defense Mohd. Najib Tun Razak
signed a memorandum of understanding under which the Bandung-
based IPTN aerospace company will export six CN-235 transport
planes and in turn will buy 20 MD-3 light trainer planes and
2,500 cars from Malaysia.
Both officials saw the deal as the first step towards
developing mutually beneficial cooperation in high technology
sectors.
"We have to fight together to become leading nations among the
other countries of the world. And this deal is a breakthrough for
each country," Habibie said.
Under the agreement, Indonesia will deliver six CN-235s worth
around US$100 million, including spare parts, to Malaysia, which,
in turn, will export 20 MD-3s light trainer planes valued at $2.6
million and 2,500 Proton cars to Indonesia.
Habibie said that the CN-235 actually costs $13 million per
unit, but the value of the six aircraft bought by Malaysia was
higher due to the additional spare parts.
"Malaysia is considering buying 18 CN-235s but, only six
aircraft were ordered in the first phase. On the other hand,
Indonesia will also consider ordering more MD-3s if necessary,"
he said.
The memorandum of understanding was supplemented by four
contracts of agreement signed by Indonesian and Malaysian parties
involved in the implementation of the counter-trade deals.
One of them was a letter of intent signed by PT IPTN's vice
president Hari Laksono and Malaysian Secretary-General of the
Ministry of Defense Dato' Kamaruzzaman Syarif.
Present
PT Citra Lamtorogung Persada's chief executive, Mrs. Siti
Hardiyanti Rukmana -- President Soeharto's eldest daughter -- and
Malaysian Perusahaan Otomobil Nasional Bhd. (Proton) Managing
Director Dat' Nadzi Salleh signed a contract for the import of
2,500 Proton automobiles of the Iswara Saga and Wira models.
Earlier in the morning, Minister Najib handed over a Proton
limousine as a present from Prime Minister Mahathir Mohammad to
President Soeharto.
Salleh said that in Malaysia the showroom price of the 1.3
liter Saga car with manual transmission is M$32,000 (US$11,850)
and the price for the 1.6 liter Wira with automatic transmission
is M$56,000.
The 2,500 Proton cars, of which 1,000 are earmarked as
taxicabs and 1,500 for official use, will be imported in built up
form.
"But we look forward to establishing a joint venture
assembling plant with PT Citra Lamtorogung in Indonesia," Salleh
added.
Proton cars are produced in Malaysia under a joint venture
with Mitsubishi of Japan. In Indonesia Mitsubishi cars and trucks
are assembled by the Krama Yudha group as the sole agent.
(icn/vin)