General Motors along with its Chinese venture SAIC Motor is planning to establish its manufacturing operations in Indonesia in an attempt to take advantage of vehicle demand in the country.
SAIC Motor is a joint venture between GM China, SAIC Motor and Wuling Motors, and the company is reportedly planning to build a manufacturing facility near Jakarta to manufacture Wuling brand vehicles.
The construction of the plant is expected to begin this year, reported Reuters.
According to Antara news agency, Indonesia's industry ministry told state that GM and SAIC would invest $700m in Indonesia to build vehicles.
According to reports, both GM and SAIC have been planning to collaborate beyond tie-ups in China and India, but the progress has been limited as GM-SAIC partnership in India fell off and SAIC had to reversed that investment in 2012 by cutting its stake to 9% after the joint venture started struggling.
