Teijin to set up firm in RI

Teijin to set up firm in RI

TOKYO (AFP): Japan's Teijin Ltd. said yesterday it would establish a joint venture in Jakarta with PT Branta Mulia to produce polyester yarn for auto tire cord.

PT Branta Mulia Teijin Indonesia, will start production in October 1996, with an annual output of 10,000 tons of polyester yarn, the Japanese top polyester manufacturer said.

The venture will have capital of US$13 million, with total investment of $43 million, Teijin said.

Teijin said it would have a 30 percent stake in the new company and Branta Mulia will hold the rest.

Teijin said revenue is forecast at $30 million for the initial year and expected to increase to $60 million in 1998.

Polyester yarn produced by the joint venture will be supplied to Asian countries, including Japan.