Hino Affirms Indonesian-Made Products Have High Standards

KatadataOTO – Hino has been present in Indonesia for 43 years and has successfully produced vehicles that are in demand by the public. This Japanese manufacturer has responded to consumer trust by implementing a long-term strategy for the national transportation industry.

This commitment is realized through continuous investment in various sectors. This includes building a factory in the Purwakarta area, West Java, which meets the standards of Hino Motors Limited, Japan, for light duty, medium duty, and buses.

The production facility stands on a 296,000 square meter plot of land with a building area of over 169,000 square meters. To operate it, Hino employs at least 1,548 people.

The installed production capacity is up to 75,000 vehicle units per year. This number is sufficient to meet the needs of both domestic and international markets.

Photo: Courtesy

Since 2011, Hino Indonesia has been exporting completely built-up (CBU) vehicles, completely knocked-down (CKD) kits, and components to various countries. These include Vietnam, the Philippines, Bolivia, Haiti, Papua New Guinea, Thailand, Malaysia, Pakistan, Taiwan, and Japan.

Not only that, Hino has also used a significant number of domestic components. This helps to boost the national automotive industry and absorb a large workforce.

“Hino's commitment to strengthening the national industry is reflected in its Local Content Level (TKDN) which reaches more than 40 percent,” said Harianto Sariyan, Director of PT Hino Motors Manufacturing Indonesia (22/01).

In his presentation, he revealed that at least 31 vehicles already have a TKDN of 44.35 percent to 57.26 percent.

“Hino also provides a Company Benefit Weight (BMP) of 14.10 percent, which has encouraged the use of local components, the development of domestic suppliers, and the strengthening of the national automotive industry supply chain,” he later added.

Photo: Courtesy

Unfortunately, this commitment is now facing pressure from the market. This is because the government has issued a policy to facilitate the import of Chinese trucks, posing a major challenge to the domestic industry.

The Japanese manufacturer also stated that it has engaged in various communications through Gaikindo to ensure the automotive industry, especially commercial vehicles, is protected.