Bosch to set up shop in Indonesia

Southeast Asian markets are a gold mine for many manufacturers. As demand for cars and parts raise to record high levels, many companies are moving in to get a piece of the pie. Bosch, a leading global supplier of technology and services has announced that it will be investing more than RM41.5 million to set up its facility in Indonesia. This facility in Jakarta will begin operations by 2014 and will manufacture automotive products mainly for Japanese automotive companies located in Indonesia itself. According to Bosch, the company plans on employing over 120 associates over the next three years.

“The planned production facility will be a much-anticipated milestone to our operations in Indonesia,” said Martin Hayes, President of Bosch in Southeast Asia, and Managing Director of Bosch in Malaysia and Singapore. He then added, “Southeast Asia is the fastest-growing region for Bosch, and expanding our manufacturing capabilities in this region underscores the growth potential that we see in this part of the world.”

Bosch says that by 2016 total production volume of Japanese carmakers in emerging markets will overtake developed ones mostly due the growth in Southeast Asian countries. As such Japanese car companies as well as others are increasing their capital expenditures particularly in emerging economies like Indonesia.

Bosch technology used in the development in autonomous driving

Bosch is a major manufacturing player, however its core products are automotive components such as brakes, electrical drives, fuel systems, generators, starter motors and steering systems just to name a few. These days Bosch components can be found in many car models from the Mercedes-Benz S-class to the newly launched Qoros 3 Sedan. So as Bosch begins to move in, expect more influence from the Stuttgart based engineering and electronics company in local offerings in the near future.