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Suzuki Invests Nearly a Billion in Indonesia Expansion

Suzuki, Indonesia's third largest automaker, has stated it will spend 60 billed yen (or $780 million) to increase its presence there.  Many automakers and manufacturers have been moving out of Japan (where Suzuki's headquarters are based) due to the high value of the Japanese yen.  It's becoming much cheaper to move production elsewhere, and that's exactly what Suzuki has decided to do. The company will set up a new plant in the Southeast Asian nation, which will build engines, and will also up its auto production there as well.

40 billion yen will go towards the new Suzuki engine factory, which will triple Indonesia's engine-production capacity and is slated to open by 2014. As for auto production, it will increase by 25 percent, from 75k vehicles last year to 100k units a year. One of the greatest additions will be the production of new Suzuki  seven-passenger vehicles.

In addition to the high value of the yen motivating the automaker out of Japan, its competitor, Toyota Motor Corp also recently announced its further move into Indonesia with the construction of a second factory. To better compete in terms of value, Suzuki decided to invest in a much more profitable market.

Here at the Jensen Dealerships, we're happy to see the further expansion of one of the most reliable automakers on the market today. Have you taken a test drive in a Suzuki recently? If not, we'll be glad to help you have the experience of a lifetime. Visit us today at Sioux City, IA , or give us a ring at (877) 691-6180 for more information.

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