This is the fifth factory Toyota has built, which is in an international industrial city Karawang of Indonesia. Koei Saga, the manager of Toyota, said the factory will mainly produce aluminum engine—R-NR for Asian countries.
Following China and Japan, Indonesia becomes the third country of producing aluminum engine for its large quantity of production and consumption. Toyota has two factories which majorly produce steel engines for Innova and Fortuner, two types of virhicles, in Djakarda Sunter.
The Indonesian government has taken charge of Inalum from a Japanese group since 2013. They agreed that 70% of the output will be exported to Japan and the rest be sold to local companies. To satisfy the demand of local industry, the new managing team has decided to reduce the amount of materials exporting to southeastern Asia. And Inalum is the only aluminum smelter in Indonesia, annually producing around three hundred thousand metal ingots.
Saleh Husin, the minister of industry department, hoped that Toyota can encourage local productions, help develop the manufacturing as well as improve the quality of local accessories.