Toyota Motor Corp.'s cumulative exports from Indonesia to other Asian countries, Africa and elsewhere are likely to top 1.5 million units this year.
The leading Japanese automaker started exports from Indonesia in 1987 and its cumulative exports from Southeast Asia's largest automobile market reached the 1 million mark at the end of 2016. Its exports last year totaled 199,000 units.
PT. Toyota Motor Manufacturing Indonesia exported 117,000 units in the first seven months of this year, increasing at a pace of 0.8 percent over the previous year on a monthly average basis.
Toyota's Indonesian unit aims to export 217,000 units for the whole of this year, up 9 percent from a year before, said Masamichi Tanaka, a senior official at TMMIN.
Tanaka said TMMIN is strengthening cooperation with trading house Toyota Tsusho Corp., a member of the Toyota Motor group, which has a logistics base in Dubai for exports to the African market.
The Indonesian unit's overseas shipments account for two-thirds of the country's car exports, with local procurement rates for components ranging from 75 percent to 94 percent.
Toyota exports its cars to more than 80 countries and regions in Asia, Africa, Latin America and other regions.
The Fortuner sport utility vehicle is now the mainstay of Toyota's overseas shipments from Indonesia, with its cumulative exports totaling more than 410,000 units, Tanaka said, adding the popularity of the Fortuner and other premier models has eclipsed that of the Innova minivan in recent years.
Toyota's investment in Indonesia has totaled 22.7 trillion rupiah ($1.53 billion) for two years and a half since 2015, President Joko "Jokowi" Widodo said at a recent ceremony at Tanjung Priok port near Jakarta to belatedly celebrate the automaker's cumulative auto exports of 1 million units.
Tanaka said the Indonesian unit's strength lies in production of multipurpose vehicles while the automaker's other key production base in Thailand mainly produces passenger cars.
"In our group, we have a healthy mindset of rivalry against the Thai unit but strive together for cost reduction and quality improvement," he added. (NNA/Kyodo)
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