Heaptalk, Jakarta — Daimler Commercial Vehicles Indonesia (DCVI) and Daimler Commercial Vehicles Manufacturing Indonesia (DCVMI) held the groundbreaking ceremony for a new production and assembly facility in Cikarang, Bekasi Regency West Java (02/19).
The construction of the new plant has an investment value of Rp500 billion or US$31.9 million (US$1 equivalent to Rp15,667). Built on an area of 14.6 hectares, this facility will be equipped with an assembly plant, test track, management office, vehicle preparation center, and various necessary employee facilities. The plant is designed to increase maximum production capacity while maintaining the highest quality standards.
DCVMI’s latest facility, which will be built throughout 2024, is expected to be fully operational in Q1 2025. The plant will replace the existing facility on 5.6 hectares of land in Wanaherang, Gunung Putri, Bogor Regency, West Java.
Domestic production of Mercedes-Benz trucks and buses is led by Sankaranarayanan Ramamurthi, President Director of DCVMI together with Naeem Hassim, President Director of DCVI for Sales & Marketing. Sankaranarayanan said that this groundbreaking ceremony marks an important milestone in DCMVI’s growth trajectory. This company aims to expand its capabilities by providing wider space and complete facilities.
“This positive development underlines Indonesia’s important role as one of the key points in the supply chain for Mercedes-Benz trucks and buses. This development is expected to increase our value proposition for existing business partners as well as potential business partners who are looking for reliable products and services,” stated Sankaranarayanan.
Indonesia is one of the main markets in Southeast Asia
Further, this new plant will support the local ecosystem and will gradually increase the local content in every Mercedes-Benz truck and bus product from this facility. Naeem added, “Since the Mercedes-Benz Truck Axor Euro 4 was launched in June 2022, we have gradually assembled this unit locally until now we have 7 models. Mercedes-Benz Axor Euro 4 is one of the superior products from our assembly plant in Indonesia.”
According to Head of International Sales and Customer Services at Daimler Truck Asia Andreas Deuschle, Indonesia is listed as one of the company’s main markets in Southeast Asia. He said, “We see enormous potential and promising growth for the commercial vehicle business in Indonesia. Therefore, we want to boost the production and distribution of our commercial vehicles based on three main pillars.”
These pillars are prioritizing quality and safety for future mobilization, customer-centricity, and accelerating the increase in local content. “We believe that this is a good opportunity for Daimler Truck AG to increase its presence by providing the right products and services to advance Indonesia,” concluded Andreas.