Volkswagen has confirmed its Indonesian plant deal. The Indonesian plant will be set up in cooperation with the Indomobil Group, who is the parent company of Volkswagen’s Indonesian distributor PT Garuda Mataram Motor.
The plant will start off as an assembly plant, putting together CKD packs from elsewhere, but full scale manufacturing could begin in 2012, 3 years from now. The plant will churn out the Volkswagen Touran from CKD packs in the hundreds as first. Then Touran output will increase, and eventually other models will also be assembled there. Indonesia is pretty much an MPV market and if the Touran manages to capture the Indonesian MPV buyer’s fancy sufficiently, it could justify the volumes for full-fledged production that goes beyond just putting together CKD packs.
The Volkswagen Touran is an MPV built on the Golf platform. There is also a version with offroader elements called the CrossTouran (shown above), which was brought in to Malaysia last year for some reasons but VW Malaysia did not sell the car. Some pre-owned units with a 1.4 litre TSI engine and DSG transmission went on sale late last year for about RM165k.