Cikarang is a city in Bekasi Regency located 34 km east of Jakarta. Cikarang, known as the largest industrial city in Southeast Asia, opens opportunities for investors to invest in there. Currently, Cikarang has become the national hub for industrial area whose export value is able to compete with Batam.
The industrial estates in Cikarang has 2,125 factories from 25 states located in that region. No wonder Cikarang is able to contribute around 34.46% of the National Foreign Investment, as well as 22-45% of the national export volume. Seven industrial zones have been recorded in Cikarang, including MM2100 industrial area, Delta Silicon I, EJIP, BIIE, Jababeka and Delta Silicon II.
There are several industry sectors in Cikarang such as automotive industry, fast moving consumer goods (FCMG) industry, F&B industry, electronic industry and automive industry. However, we are only going to discuss about the automotive industries.
Here are some automotive factories in Cikarang
PT Hankook Tire Factory
One of the automotive industry located in Cikarang is PT Hankook Tire Indonesia tire factory. PT Hankook Tire Factory is one of major player in Indonesia tire industry and 92 % of its product is being export for European and American markets. It stands on 60 ha of land is supported by 1,852 employees capable of producing 32,000 tires per day or 12 million tires per year.
Tires produced in this factory consist of four brands. Namely Ventus, Kinergy, Dynapro and Vantra. Kinergy brand are for MPV cars such as Sienta, while Dynapro for SUV-type cars, and Vantra for vans, pick-ups and light trucks. Senior Manager of Corporate Management Team of Hankook Tire Indonesia, Hyon Young Seop, said that another 8 percents are supplied to tire needs in the domestic market.
Park Byoung Jun, General Manager of the Corporate Management Team of Hankook Tire Indonesia, said that, throughout the world, Hankook operates 8 factories. the factory in Cikarang, Bekasi, is the seventh factory that Hankook has built for the global market.
This factory adopts an environmental friendly concept. To run factory machine, electricity is used from gas power supplied by PT Perusahaan Gas Negara (PGN) through underground pipelines.
The need for natural rubber as one of the important raw materials for tire production at the Hankook factory in Cikarang, especially for commercial vehicle tires were supplied from various rubber producers in Sumatra and Kalimantan.
Wuling factory is another automotive factory located in Cikarang. The factory, inaugurated by Indonesian Vice President Jusuf Kalla, owned by SGMW Motor Indonesia with investment worth 700 million US dollars. SGMW Motor Indonesia is a joint venture between three parties, namely SAIC with 50.1 percent ownership, General Motor China 44 percent, and Guangxi Automobile Group (Wuling Motor) with 5.9 percent.
In the car industry, Jusuf said demand for good raw materials such as steel, aluminum and rubber continued to increase. It takes hundreds of suppliers to fulfill this area. Hence this industry provides new jobs opportunity for Indonesia
This factory stands on an area of 60 hectares which is divided into two parts, assembling location and centralized supplier from China and the United States. This factory absorbs at least 3,000 workers. Construction of the factory began two years ago, while the groundbreaking was carried out on August 20, 2015.
The installed capacity of the factory is 120,000 units which can be increased to a maximum of 150,000 units. This year SGMW Motor Indonesia aims to produce 8,000 units of Confero S.