Top Page | English | 简体中文 | 繁體中文 | 한국어 | 日本語
Monday, 27 February 2017, 16:26 HKT/SGT

Source: Honda
Honda Celebrates One Million Automobile Production Milestone in Indonesia

Karawang, Indonesia, Feb 27, 2017 - (JCN Newswire) - PT Honda Prospect Motor (HPM) today celebrated its one million-unit automobile production milestone in Indonesia at its ceremony held at the Karawang Factory. Honorable guest, Director General of Metal, Machinery, Transportation Equipment, and Electronics, Mr. I Gusti Putu Suryawirawan, and other VIPs from the Indonesian government attended the ceremony while Mr. Seiji Kuraishi, Executive Vice President of Honda Motor Co., Ltd, and Mr. Noriaki Abe, President and CEO of Asian Honda Motor Co., Ltd. attended representing Honda together with Mr. Tomoki Uchida, President Director of HPM.

HPM began local automobile production in February 2003 with Honda Stream at its factory located in Karawang, West Java, Indonesia. The Karawang Factory was built on an area of 512,500 m2 with an initial investment worth of 700 billion rupiah, with the production capacity of 80,000 units. HPM started constructing its second factory on a total building area of 145,760 m2 in 2012 with an investment worth of 3.1 trillion rupiah. The second factory was inaugurated in January 2014 with the production capacity of 120,000 units, which makes the total production capacity of the company to 200,000 units per year.

Honda has enforced its production capacity in Indonesia to fulfill the increasing demands for Honda automobile products in the country. When Honda began its production in Indonesia in 2003, the sales result was approximately 22,000 units. Since then, Honda has increased the sales volume considerably and it recorded 200,000 unit sales in 2016 with 19% market share in the country. Currently, HPM produces 7 models at its two factories, which include very well-accepted Honda Mobilio, Honda BR-V, Honda HR-V, Honda Jazz, Honda Brio RS, Honda Brio Satya and Honda CR-V.

The Karawang Factory currently plays an important role in Honda's global automobile component export worldwide. The export destinations include neighbouring ASEAN countries, such as Thailand, Malaysia, the Philippines, Vietnam, other Asian countries such as India and Pakistan, as well as Latin American countries, including Mexico, Brazil, and Argentina. HPM also delivers their component parts to Japan. In 2016, Honda component export from Indonesia significantly grew and increased the number of containers exported from 5,600 in 2015 to more than 7,700 containers. Consequently, the export value also increased from 1.8 trillion rupiah in 2015 to more than 2.2 trillion rupiah in 2016. In 2017, HPM plans to increase the export quantity to nearly 10,000 containers with a value of more than 2.5 trillion rupiah.

Honda further strengthened its production operations with the opening of its stamping factory, which produces automobile component parts such as side panels, roof panels and floor panels. The factory began its operation in May 2016 with a total investment of 194 billion rupiah. The factory has implemented advanced production technology, including automatic continuous process and robotic system and has the production capacity of up to 2 million pieces component parts per year for both domestic sales and export.

In September 2016, HPM made an additional 228 billion rupiah investment and started operation of its new factory for crank shaft. Honda employed advanced and environmentally friendly technology and adopted high-precision machines at this new factory to produce maximum of 240,000 crankshafts per year. This crank shaft factory is met with the regulation enforced by the Indonesian government for Low Cost Green Car (LCGC) models. Currently, HPM has achieved up to 87% local content in its products.

Seiji Kuraishi, Executive Vice President of Honda Motor Co., Ltd. said, "It is a great achievement to arrive at this milestone in just 14 years and follows in Honda Motor Company's 100 millionth unit of cumulative automobile production worldwide in September last year. Honda sales in Indonesia was ranked in 4th position for Honda globally, behind only US, China and Japan. Indonesia has always been and always will be an important market for Honda. We will continue to dedicate ourselves to doing business in Indonesia and the expansion of automobile production capacities with new factories is a testament to that commitment."

Tomoki Uchida, President Director of HPM, said, "The achievement of our one million-unit production milestone demonstrates how well Honda cars have been loved and acclaimed by our esteemed Indonesian customers, and also the commitment from Honda for the business development in Indonesia. We will continue investing to further enhance our production facilities and human resources and contributing to the Indonesian automotive industry and the society."

About PT Honda Prospect Motor
Establishment:        1999 
Representative:       Tomoki Uchida, President Director 
Location:             Jakarta, Indonesia
Capital investment:   70 million US Dollar 
Capitalization ratio: 51% Honda Motor Co., Ltd.
                      49% PT Honda Prospect Motor 
Employment:           Approximately 7,900 associates 
Business:             Sales and production of automobiles 
Honda Prospect Motor Automobile Production Factory

About Honda

Honda Motor Co., Ltd. (TSE:7267/NYSE:HMC/LSE:HNDA) is one of the leading manufacturers of automobiles and power products and the largest manufacture of motorcycles in the world. Honda has always sought to provide genuine satisfaction to people worldwide. The result is more than 120 manufacturing facilities in 30 countries worldwide, producing a wide range of products, including motorcycles, ATVs, generators, marine engines, lawn and garden equipment and automobiles that bring the company into contact with over 19 million customers annually. For more information, please visit

Media Inquiries

Feb 27, 2017 16:26 HKT/SGT
Source: Honda

Topic: Press release summary
Sectors: Automotive
From the Asia Corporate News Network

Copyright © 2017 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.

Honda Prospect Motor Automobile Production Factory
View Image
Honda Links

June 19, 2017 17:00 HKT/SGT
GAIKINDO Indonesia International Auto Show (GIIAS 2017) Presents a World Class Auto Show with Latest Products and Technology
June 7, 2017 14:53 HKT/SGT
Honda Exhibit and Announcements at CES ASIA 2017
June 2, 2017 14:50 HKT/SGT
Jenson Button to Race NSX-GT at Suzuka 1000km
May 30, 2017 13:35 HKT/SGT
Honda Sets Monthly Records for Automobile Production in Asia and China
May 24, 2017 12:08 HKT/SGT
Overview of Honda Exhibit at CES ASIA 2017
May 16, 2017 13:14 HKT/SGT
Honda Begins Joint Research with Boston University in Information Security for Artificial Intelligence
May 1, 2017 08:55 HKT/SGT
Honda to Supply Power Units to Sauber F1 Team
Apr 28, 2017 17:08 HKT/SGT
Honda's Consolidated Financial Summary for the Fiscal Year and the Fiscal 4th Quarter ended March 31, 2017
Apr 27, 2017 20:09 HKT/SGT
Honda Begins New Joint Research in Artificial Intelligence with Kyoto University Graduate School of Informatics
Apr 27, 2017 20:01 HKT/SGT
Honda Sets All-Time Fiscal Year Records for Automobile Production Worldwide, Overseas, in North America, Asia, and China
More news >>
 News Alerts
Copyright © 2017 ACN Newswire - Asia Corporate News Network
Home | About us | Services | Partners | Events | Login | Contact us | Privacy Policy | Terms of Use | RSS
US: +1 800 291 0906 | Beijing: +86 10 8405 3688 | Hong Kong: +852 2217 2912 | Singapore: +65 6304 8926 | Tokyo: +81 3 5791 1818

Connect With us: