Indonesia Honda to open 3rd plant

Indonesia Honda to open 3rd plant

JAKARTA: Astra Honda Motor, an Indonesian subsidiary of the Japanese automotive company, will open on Tuesday its third motorcycle plant in the country, a Japanese Embassy official said.

Astra Honda Motor, Indonesia's largest motorcycle manufacturer, will open the US$380 million plant in Bekasi regency, east of Jakarta, Masafumi Kuroki, a minister at the Japanese Embassy, said on Monday.

Kuroki gave no details on the production capacity of the new plant.

Speaking at a monthly press briefing, Kuroki said the new plant would bring the total amount invested by Honda in Indonesia this year to $450 million.

"The new investment will create 9,000 new jobs," Kuroki said. The company already has about 31,000 workers in Indonesia.

Astra Honda Motor is a venture between Japan's Honda Motor Company and Indonesian firm PT Astra International. Each owns half of Astra Honda Motor's equity.

The company's current annual production capacity stands at 2.6 million motorcycles. -- AFP