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- Honda to Relocate from India to Indonesia, Investment Worth RM1.49 Billion
In a recent statement released by Indonesia’s Minister of Industry, Agus Gumiwang Kartasasmita states that Honda Motor Company is now ready for moving their vehicle assembly operations from India to Indonesia.
The Japanese automotive company will also add on an investment worth Rp 5.2 trillion (RM 1.49 billion) till 2024.
Honda has also stated that they will increase export activity especially for automotive components to nine countries including Thailand, Malaysia, Vietnam, Japan, Pakistan, Saudi Arabia and three other Middle Eastern countries that are yet to be disclosed.
Besides Honda, a few other automotive companies have give their commitment in investing for neighbouring countries such as Toyota, Suzuki, Hyundai and Tesla, which has plans to build an EV battery manufacturing plant.
This news surfaced after Honda was reported to close one of their vehicle assembly plants located in Greater Noida, and has moved their operations to a second facility at Rajasthan which can withhold a capacity of 180,000 units annually.
Based on a physical report that ended in March 2020, Honda India has successfully sold at least 102,000 vehicles and has exported more than 4,000 vehicles.
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