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| Business News / Automotive |
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| BMW Indonesia and Astra Sign Contract for Local Assembly |
| Wednesday, May 05, 2004 16:01:43 |
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Jakarta - PT BMW Indonesia, a subsidiary of the Germany-based global premium car manufacturer BMW AG, and PT Astra International Tbk today signed an agreement for the local assembly of the new BMW 5 Series at PT Tjahja Sakti Motor's plant. The contract was signed by Josef Honsel, President Director of PT BMW Indonesia and Prijono Sugiarto, Director of PT Astra International Tbk and President Commissioner of PT Tjahja Sakti Motor.
PT Tjahja Sakti Motor, a wholly owned subsidiary of PT Astra International Tbk, has been assembling BMW cars since 1976 and implements BMW high standard of manufacturing and quality control. PT Tjahja Sakti Motor is the fourth plant in Asia to assembly the new BMW 5 Series following China, Thailand and Malaysia.
Josef Honsel said, ''With this agreement, BMW Indonesia is making a long-term commitment to Indonesia's car manufacturing industry, while at the same time expanding the range of BMW products that are available in the market for our customers. This would be impossible without the synergy created by our close cooperation with PT Astra International and its subsidiary, PT Tjahja Sakti Motor.''
Meanwhile, PT Astra International Director Prijono Sugiarto said, ''We are proud to partner with a top international premium brand such as BMW and are confident that we have the best assembling process and quality assurance to produce high quality cars for BMW in Indonesia.'' The new BMW 5 Series introduces lightweight engineering that combines steel and aluminium structures on the body. This new hybrid construction technology requires special equipment and processes in the production line. The new cooperation with PT Tjahja Sakti Motor includes building a totally new body shop and installing high-tech equipment for aluminium treatment and welding. In addition, it includes an upgrade of some facilities of the assembly line and paint-shop.
''The upgrading of the production lines is almost complete. We are currently conducting intensive training programs for our production staff that is taking place in the plant of BMW Manufacturing (Thailand) in Rayong, as well as in Indonesia, ''added Prijono Sugiarto. Twelve production experts from BMW AG Germany are also in Jakarta to support PT Tjahja Sakti Motor in the readiness of the CKD assembly process. The first locally assembled new BMW 5 Series will be delivered to customers in July 2004.
''Our customers are very excited to drive the new BMW 5 Series as soon as possible. In fact, our BMW authorized dealers have already started receiving orders for the locally-assembled 5 Series,'' said Josef Honsel.
The production of the previous BMW 5 Series model ended in January 2004 and all stocks were sold out by March 2004. The New BMW 5 Series was first introduced to Indonesia in January 2004 as a fully-imported 530i model at the price of Rp. 997.200.000,- on the road.
BMW in Indonesia PT BMW Indonesia is a wholly-owned subsidiary of Bayerische Motoren Werke (BMW) AG, the world manufacturer of BMW vehicles based in Munich, Germany. The establishment of this subsidiary in April 2001 reflects the BMW Group's confidence in the long-term future of Indonesia and its commitment to maintaining and extending BMW's leading position in the premium market segment. PT BMW Indonesia's activities cover the wholesale of BMW cars, spare parts and accessories, as well as the overall planning of sales, marketing, after-sales, and related activities in Indonesia. Its dealership network covers 14 dealers with 18 outlets spread out in various cities in Indonesia. More information about BMW Indonesia may be found online at www.bmw.co.id
PT Tjahja Sakti Motor PT Tjahja Sakti Motor was established on 6 March, 1962. Since 1976 TSM became the Sole Agent of BMW in Indonesia and ran the manufacturing and distribution of BMW cars in Completely Knock Down (CKD) and Completely Built Up (CBU) forms as well as the distribution of BMW spareparts. Until end of March 2004, TSM has assembled 39,439 units of BMW sold in Indonesia.
The Company is wholly owned subsidiary of PT Astra International Tbk. The company is domiciled in Jl. Gaya Motor Selatan No. 1, Jakarta. Since 2001, the wholesale and distribution function have been transfered to PT BMW Indonesia, the wholly owned subsidiary of BMW AG. |
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