Middle East Conflict Disrupts Toyota Exports Amid Logistics Disruptions

Jakarta (ANTARA) – Toyota Indonesia has confirmed that its export commitments to Middle East markets remain as usual despite heightened geopolitical tensions in the region. The company said there have been no changes in commitments to importers to date, but vehicle shipments are facing logistics constraints. Nandi Julyanto, President Director of PT Toyota Motor Manufacturing Indonesia (TMMIN), in Jakarta on Friday evening (6 March), explained that vehicle production continues to operate normally in line with orders from export markets, but the shipping process to the Middle East has temporarily halted due to disruptions in shipping routes.

“Our commitments to importers remain unchanged. The issue is logistics disrupted, so we continue to produce normally according to orders, but shipping or dispatch depends on the situation,” he said.

“What we produce cannot be shipped yet, so it's on hold for now. But commitments have not changed,” said Nandi.

The company also could not yet determine how long the delay might last. Currently, carrier ships are not operating to that region.

“We don't know yet, because there are no ships sailing there at the moment,” he added.

To anticipate this, TMMIN is studying the possibility of using alternative shipping routes. Meanwhile, shipments of components or spare parts will continue to be sent via air routes.

On the other hand, TMMIN emphasises that their export markets are not only the Middle East. Currently, the largest exports go to the ASEAN region and Latin America. The contribution of the Middle East market is estimated at around 17-20 percent of Toyota Indonesia’s total vehicle exports.