Japanese Car manufacturer Daihatsu Motor's subsidiary, Astra Daihatsu Motor (ADM) has opened the Karawang Assembly Plant in West Java, Indonesia.
The new assembly plant located at the Suryacipta Industrial Park will manufacture the Daihatsu Ayla and Toyota Agya vehicles under the Low Cost Green Car (LCGC) Policy being studied by the Indonesian government.
Having a production capacity of 120,000 units per year, the new plant consists of stamping, welding, painting and assembly processes.
The new plant is a part of company's plan to meet the increasing domestic demand driven by the expansion of the Indonesia's economy strengthening its production and development infrastructure.
In order to achieve higher level of affordability and fuel efficiency for the production of Ayla and Agya models, the company has reduced the costs with local procurement and by hiring a local designer.
Daihatsu is also planning to establish Indonesia's first test course with research and development functions at the new facility, which currently manufactures the Daihatsu Xenia and Toyota Avanza vehicles.