Volkswagen's Strategic Expansion in Indonesia

By Editorial Team 07/10/2019
Summary

Volkswagen or VW, a German vehicle manufacturer, is implementing a new strategy in Indonesia. The company began to increase vehicle assembly in Indonesia, through PT Garuda Mataram Motor, with a medium knocked down (MKD) scheme this year. Thus, VW will gradually produce cars in Indonesia.

The VW Tiguan Allspace Sport Utility Vehicle (SUV) is the first type of car to be made under the MKD scheme. Garuda Mataram, a subsidiary of the Indomobil Group, will no longer import Tiguan in a completely-build-up (CBU) condition. This SUV will be imported partially from Mexico and fully assembled at the factory of another Indomobil’s subsidiary, PT National Assemblers, in Cikarang.

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