Robert Bosch plans to start automotive component manufacturing in Indonesia with an initial spend of EUR10m.
It currently supplies automakers in Indonesia, including Toyota and Daihatsu, from plants in Thailand, Malaysia, Vietnam and elsewhere.
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The new plant, to be located in the expanding automotive production hub just east of Jakarta, will initially produce fuel injection parts for petrol engines and oxygen sensors.
With vehicle production expanding rapidly in the country, Bosch is keen to increase its footprint in this market.