Sumitomo imports from RI

Sumitomo imports from RI

TOKYO (Reuters): Sumitomo Wiring Systems Ltd. said yesterday
it had started importing wire harnesses for use in automobiles
from its Indonesian unit.

Sumitomo Wiring, a major maker of wire harnesses, had
initially planned to begin importing parts from the Indonesian
unit, PT Sumi Indo Wiring Systems, at the end of 1998, a Sumitomo
spokesman said.

However, it decided to bring forward the plan to this month
because the Indonesian unit was suffering from extremely poor
demand from local carmakers, he said.

Sumitomo Wiring planned to reduce output of wire harnesses in
Japan and to boost output at the Indonesian unit to full capacity
by January 1999 in a bid to avoid further lay-offs at the
Indonesian plant, he said.

Sumi Indo Wiring had this month reemployed some of the 200
workers it had laid off since February, the spokesman said.

The Indonesian unit can produce 100 million yen worth of wire
harnesses a month when operating at full capacity.

Sumitomo Wiring is 52.5 percent owned by Sumitomo Electric
Industries Ltd.