Suzuki is increasing its investment to expand car production in Indonesia. This investment also includes the production of hybrid cars, supporting the growing demand for electrified vehicles.
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Suzuki Announces Rp 5 Trillion Investment
In early 2024, Suzuki announced an additional investment of Rp 5 trillion to support new model production at the Suzuki Indonesia factory.
“That is for the needs of the new model, it is in progress,” said Joshi Prasetya, Head of Strategic Planning Department of PT Suzuki Indomobil Sales (SIS), in Jakarta recently.
Cikarang Factory to Receive Additional Investment
Joshi mentioned that the factory receiving the investment is located in Cikarang, West Java. This factory currently produces models like the Ertiga.
“The investment is used for buying jigs (tools), dies, preparing the production line, and other needs,” said Joshi. He also mentioned that before mass production begins, prototypes such as Proto 1 and Proto 2 will be developed first.
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Hybrid Car Production in Cikarang Factory
The Cikarang factory will also be optimized for hybrid car production. Joshi confirmed that the additional investment includes the electrification segment, focusing on hybrid technology.
“That includes electrification, and by electrification, we mean hybrid,” Joshi explained.
Suzuki Aims Affordable Hybrid Cars
Suzuki is targeting the production of hybrid cars at affordable prices for the Indonesian market. Suzuki intends to employ the Suzuki Smart Hybrid system in order to make cost-effective and efficient hybrid technology.
“We are actually aiming at the electrified vehicle segment at a reasonable price. Technologically, we have employed the Suzuki Smart Hybrid,” said Joshi.
Suzuki Fronx and Heartect Frame
As for the models to be manufactured, Joshi did not give details. But when queried about the grille seen at the Indonesia International Motor Show (IIMS), he dropped a hint of the Suzuki Fronx. The Fronx, based on the Heartect platform, was seen at IIMS, generating rumors about its domestic manufacture.
“Well, you saw it yesterday,” Joshi said, suggesting the Fronx could be one of the new models produced in Indonesia.
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Suzuki Jimny Left Out of Local Production Strategy
When queried if the new investment would have local production plans for the Suzuki Jimny, Joshi dismissed it. “I don’t think so,” he added.
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Conclusion
Suzuki’s new investment in Indonesia demonstrates its dedication to creating fresh models, including hybrid cars. The Cikarang plant will be crucial to meet hybrid vehicle demand while keeping prices reasonable for Indonesian buyers. Though Suzuki hasn’t announced which models it will make, the Fronx’s appearance at IIMS 2025 hints it might be part of the company’s upcoming production plans.