Suzuki Indomobil Motor (SIM), an Indonesian subsidiary of Japanese automaker Suzuki Motor, has commenced the production of its 1000cm3 passenger car, Karimun Wagon R, from September 2013.
The Karimun Wagon R is a passenger car with five seats, which is developed in compliance with the Indonesian government's Low Cost Green Car (LCGC) policy.
Suzuki, which produced 149,000 automobile units in FY2012 in Indonesia,is already making investments to increase the internal production rate at this plant to meet the growing demand in the country.
Suzuki has also acquired a 1.3 million square meter of land in Greenland International Industrial Center (GIIC), in Jakarta to establish a new engine and transmission plant and new automobile assembly plant.
The total investment in GIIC is expected to be JPY93bn ($936m).
To be operational from February 2014, the internal production rate of the engine and transmission plant will be increased by partially moving the engine production of its Cakung Plant.
It will completely produce the engines from casting and forging to machining, heat treatment, and assembly with emphasis on increasing the production efficiency. The plant will become a complete production structure in November 2014.
Besides this, the automobile assembly plant is planned to be operational from January 2015 by moving Ertiga production from the Tambun Plant. The plant will also produce Karimun Wagon R in the future.
By FY2015, the company intends to meet 250,000 units target with both the plants into production.