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Manufacturing Indonesia

Source: Taiwantrade | Updated: 09 January 2015

Representatives of several world’s leading machine tools and accessories makers like Tongtai, YCM, Victor Taichung, FFG, Luren and Youji from Taiwan presented their latest products and innovations at the Taiwan Product Launch, which took part in conjunction with the Product Application Demo Show during the Manufacturing Indonesia 2014 at the Jakarta International Expo Center. These events aimed to enhance the local manufacturing sectors’ competitive edge, especially the automotive sector in Indonesia. The launch successfully attracted over 90 particpants, not only including some of the most important local machinery distributors and buyers like Jaya Metal and Intermesindo Raya but also including over 20 media like TVRI, Metro TV NEWs, Bisnis Jakarta, Indopos and etc.


Mr. Huli Chiu, Executative director of Market Development Department of TAITRA, stressed that Taiwan is home to a number of cutting-edge products, including some of the most advanced industrial machinery models and machine tools on the market. The island nation offers the world an opportunity to tap into its extensive machinery industry clusters, which form an integral part of the global supply chain. Taiwan’s machinery products are geared mostly for export. Nearly 80% of the total machine tools output last year was exported to over 138 countries across the world, making Taiwan the world’s fourth largest exporter of machine tools.


Of the total lathes and turning machines rolled out in the January-December period last year, Indonesia absorbed around US$149.79 million worth of such equipment. Taiwan accounted for 11.57% of the total, valuing at US$ 17.33 million. As for machining centers, Indonesia imported a total of USD$166.55 million during the same period, with Taiwan supplying 12.17% of its requirements in this regard, or some US$20.26 million. Exports of machining center from Taiwan to Indonesia were the 2nd highest last year, whereas exports of lathes and turning machines from Taiwan to Indonesia ranked 3rd highest in the year. Last year, Taiwan shipped to Indonesia some US$105.791 million worth of machine tools. Indonesia is the 6th biggest export market for Taiwan’s machine tools.


Taiwan helps industries everywhere increase their competitiveness by supplying state-of-the-art machine tools. Solar energy plants, major semiconductor manufacturers, panel industries, and multinational carmakers among other industries rely on Taiwan for supply of such industry equipment. The Indonesian government has designated car assembly and manufacturing as the key sectors for development. Minister Hidayat of the Ministry of Industry indicated that for the next five years the Indonesian government will actively promote the automotive industry, and expect to become the largest assembly base in Southeast Asia. Taiwan will assume the role of a major supplier of machine tools and parts to meet the increasing demand in Indonesia for such machinery units.


Zoe Yeh (zoeyeh@taitra.org.tw)


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