South East Asian Automotive News

The Association of Indonesian Motor Vehicles Industries (Gaikindo) announced that car sales fell to 6,424 units in February, a 73.5% year-on-year decline. Gaikindo noted that, without an improvement in the financial markets, car sales will drop even further in March. (March 22nd 1998)

PT Bimantara, controlled by President Suharto’s son, Bambang, has been appointed by the Indonesian government to act as an automotive spare parts importer. Under the plan, Bimantara will import products at a fixed rate of Rp5,000 to the US dollar, with the government covering any shortfall beyond this level. The plan is not yet in operation. The Chairman of the Overland Transport Business Organization (Organda) stated that public transportation businesses would go bankrupt without such measures. (March 12th 1998)

PT Tanabe Chemical Indonesia has emerged as the result of a joint venture between Tanabe Chemical and a local investor. The new company will produce general-purpose industrial paints in a plant neat Jakarta. Key consumers will be manufacturers of auto components. (March 19th 1998)

PT Timor Distributor Nasional, distributor of Indonesia’s national car, controlled by President Suharto’s son Tommy, has announced that it aims to sell 17,000 units in 1998, slightly fewer than the 17,837 units sold in 1997. Timor also announced that it has gained ISO 9002 certification from Societe Generale de Surveillance (SGS). (March 3rd 1998)