Indonesia

ST Engineering Marks First Entry Into Indonesian Metro Market

ST Engineering Marks First Entry Into Indonesian Metro Market

SINGAPORE: ST Engineering’s electronics sector has announced that it has secured a contract to provide its Platform Screen Doors (PSD) solutions for Jakarta’s new light rail transit (LRT), the Jabodebek LRT System. Awarded by PT Len Railway System, a subsidiary of PT Len Industri which is a state-owned enterprise under the Ministry of State-Owned Enterprise of Republic Indonesia, this marks the sector’s first foray into the Indonesian metro market.

ST Engineering’s PSD solution will serve as a safety barrier between the platform and the train track, enhancing the safety of passengers when the Jabodebek LRT System is fully operational in 2019. The new LRT system which consists of 18 stations connecting Jakarta’s city centre to suburbs areas in Bogor, Bekasi and Depok, is expected to face high human traffic during peak hours as it is seen as the answer to Jakarta’s high road traffic congestion situation.

Mr Ravinder Singh, President of Electronics, ST Engineering said, “This contract win reinforces our position as an industry leader in smart rail transportation, strengthening our record of more than 100 rail electronics projects in 41 cities around the world. We will work together with our partners to deliver safe, reliable and efficient train services for Jakarta commuters.”

Reinforcing the mutual commitment to bring the shared vision of an enhanced rail transportation in Indonesia to fruition, the company’s electronics sector has also signed a Memorandum of Understanding (MoU) with PT Len and PT Eltran, which is a subsidiary of PT Len, to collaborate on future PSD projects in Indonesia and overseas. The partnership brings together ST Engineering’s rail electronics capabilities, as well as PT Len and PT Eltran’s expertise and experience in the fields of mechanical, electrical and telecommunications systems, to co-develop rail solutions catered to the needs of the larger Indonesian market and other global cities.

The delivery of PSDs for the first two stations will begin in March 2019, with progressive delivery of the remaining 16 stations by March 2020.

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ABB Opens GIS Facility In Indonesia

ABB Opens GIS Facility In Indonesia

ABB has built a high voltage gas-insulated switchgear (GIS) manufacturing facility in Tangerang, Banten. The facility which was inaugurated by Industry Minister Airlangga Hartarto during its opening, is projected to have 170 kilovolts of gas-fueled electrical panels that will be utilised to distribute electricity from power plants to end users such as factories, housing complexes and commercial areas in order to feed increasing demands for power.

As mentioned by Minister Airlangga Hartarto during his inauguration speech, GIS demand in Indonesia is projected to increase to 150 sets annually as the country works to attain a power capacity of 35 gigawatts and 46,000 kilometers of network transmission by 2019. Claudio Facchin, president of ABB’s power grids division, has also said, “during the early stages of operation, the plant is expected to fulfill around a third of Indonesia’s GIS demand” and it is expected to increase its capacity by around 6.9 percent per year, with the potential to have its products exported to meet global demand.

Additionally, through this facility, ABB will not only help to create jobs and contribute to Indonesia’s FDI, the company could also help to sustain local auxiliary industries as a 2012 legislation has mandated that all power infrastructure developments in the country has to source a portion of its components locally. This facility in Tangerang is the fourth plant in Indonesia that ABB has opened in the past three years as part of a US$30 million investment plan and its contains approximately 25 percent local content for its components. This exceeds local government requirements of at least 14.3 percent local content for high voltage GIS facilities. Minister Airlangga Hartarto, has commented that, “by establishing this plant here in Indonesia, ABB is enabling the local manufacturing industry to contribute more to the national GIS demand.”

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Indonesia Manufactured Aircrafts Attracts African, Norwegian And Southeast Asian Buyers

Indonesia Manufactured Aircrafts Attracts African, Norwegian And Southeast Asian Buyers

During the International Monetary Fund –World Bank (IMF-World Bank) annual meetings in Nusa Dua, Bali, from 12-14 October, Indonesian aircraft manufacturer, PT Dirgantara Indonesia (PT DI), displayed two state owned aircrafts (CN 235 and N 219 planes) to international delegates. This resulted in numerous expressions of interest from African countries, with Elfien Goentoro, president director of PT DI commenting that, “Madagascar, Congo and Sudan have expressed interest. They are in the process of exploring a possible [purchase]”. Although, the company’s motivation for displaying its aircrafts was not focused on sales but mainly to showcase its products, Goentoro did add that the African market is an area of interest due to the suitability of the CN 235 and N219 planes to the geography of many African countries. Additionally, Norway had also sought information about the two aircrafts, due to domestic requirements for planes with short take-off and landing abilities that would be operated in remote areas of the Nordic region.

Currently, the company is looking to produce an average of 10 airplanes a year and would be delivering four plants in 2019. Senegal has already purchased a CN 235 plane worth US$25 million while Nepal had purchased a CN 235 with maritime patrol configuration that is priced at $30 million and Thailand had purchased two N 219 planes worth $13 million each.

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Indonesia To Increase Satellite Deployments To Feed Demand

Indonesia To Increase Satellite Deployments To Feed Demand

INDONESIA: Indonesia will be deploying more satellites into orbit in order to decrease its reliance on foreign operators and feed domestic needs for increased connectivity. In fact, the county’s largest telecommunications operator, Telekomunikasi Indonesia as well as Pasifik Satelit Nusantara (PSN), a private satellite company, have both already launched their own satellites into space.

Jonathan Hung, president of the Singapore Space and Technology Association (SSTA), has commented that, “demand for satellite communication here [in Indonesia] will continue to grow, based on the fact that Indonesia is a vast archipelago of 17,000 islands with a population of 252 million people, an increasing number of which are mobile phone, satellite TV, or consumer broadband users.” He has also projected that the country’s satellite communication sector will grow at least 10 percent annually over the next few years, due to increasing demands for broadband data and video services as well as by the banking sector.

As of now, Indonesia already possesses more satellite operators than any other Southeast Asian country with companies such as Telkom, PSN, Media Citra Indostar, Indosat Ooreedoo and lender Bank Rakyat Indonesia all being situated within the country. In fact, Bank Rakyat Indonesia, a local state controlled bank, has already launched its own satellite into orbit so as to reduce rental costs paid to telecommunication companies. A move that was introduced when the bank sought to integrate its branches and automated teller machines in the country’s most accessible zones to its head office.

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Mitsubishi Motors Increases Its Production Capacity In Indonesia

Mitsubishi Motors Increases Its Production Capacity In Indonesia

TOKYO: Mitsubishi Motors has announced that it is to increase the production capacity at its state-of-the-art manufacturing facility in Bekasi, Indonesia in response to strong demand for the XPANDER crossover MPV in Indonesia and export markets.

The expansion will increase capacity to 220,000(*) units from the current 160,000(*) units by fiscal year 2020.

The expansion represents an investment of around 4 billion Yen and will see an extra 800 people employed at the Bekasi plant, taking the total number of staff up to 4,100.

The production volume of XPANDER will rise from 115,000 units to 160,000 units by fiscal year 2020.  Exports will rise from 30,000 units to 50,000 units to feed demand from overseas markets including ASEAN countries.

In addition, the XPANDER’s engine will be produced in Nissan Motor Indonesia (NMI), a local production subsidiary of Nissan Motor Co., Ltd. This will increase the localised parts ratio of XPANDER to about 80 percent from the current 70 percent and have beneficial economic effects on the local supply chain. The expansion of NMI facility will mean 160,000 units of the engine will be produced annually.

Since its launch last August, the XPANDER has accumulated 100,000 orders in Indonesia by the end of September 2018. In March and July this year, it was ranked No.1 in Indonesia’s sales volume ranking, and has received the Car of the Year 2018 from the OTOMOTIF newspaper in March and FORWOT Car of the Year 2018 from Automotive Journalist Forum in September.

By expanding its Indonesian business, Mitsubishi Motors is committed towards continuously contributing to the economic growth in Indonesia.

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US-China Trade War Pushes Manufacturing To Southeast Asia

US-China Trade War Pushes Manufacturing To Southeast Asia

MANILA – Increasing tension between the USA and China has caused a diversion of manufacturing activities from China to Southeast Asia due to rising labour costs, tariffs and political instability.

In accordance to the manufacturing production index from the Japan Center for Economic Research, five key Southeast Asian countries (Indonesia, Thailand, Malaysia, the Philippines and Singapore) have a recorded 4.5 percent increase in manufacturing for 2017 while China experienced a corresponding 15.7 percent decrease. Similarly, for the first half of 2018, the Philippines’ experienced a 13.8 percent rise in its manufacturing production index due to infrastructural initiatives from President, Rodrigo Duterte’s government. A trend that was also replicated by the 4 to 5 percent rise in manufacturing by Indonesia, Malaysia and Thailand due to increased GDPs, exports and infrastructural growth.

Under newly developed China-plus-one strategies, manufacturers have been looking to tap onto manufacturing facilities in Southeast Asia before exporting to China to circumvent tariffs and increasing Chinese labour costs induced by the Trade War. A strategy that German automaker, BMW, has deployed by building some of its models in Thailand, an automotive industry hub, before exporting to China. Taiwanese power components supplier Delta Electronics also plans to re-divert its key production bases in China to Thailand by converting its Thai affiliate, Delta Electronics (Thailand), into a subsidiary while contract electronics maker, New Kinpo Group, is looking to build new facilities in the Philippines as it shifts its focus away from China. A sentiment that is shared by the group’s CEO, Simon Shen, as the company eyes a further expansion in Thailand and Malaysia due to increasing demands from clients who are looking towards Southeast Asia as a manufacturing base.

This could signal a continued downward trend in China’s lead in real GDP growth although Makoto Saito, an economist at the NLI Research Institute in Japan has said “If the U.S. economic cycle enters a downward phase in 2019, Southeast Asia could face a slowdown as well”.

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Bombardier To Focus Investments On Asian Infrastructure

Bombardier To Focus Investments On Asian Infrastructure

BANGKOK: Bombardier, Thailand’s second largest train provider, will be expanding its infrastructure investments in Asia, building upon its existing 28 offices and production sites established across the region. Laurent Troger, president of Bombardier Transportation, has said: “We will maintain our market share among the top three in the ASEAN market by providing more technology, innovativeness, service, and also customise our products to serve demand in this region”.

In particular, APAC’s urban mass transit and advanced railway networks have been identified as key areas of interest and this is evidenced by the company’s increasing supply of metro cars, trains and mainline systems across Asian cities such as Shanghai, Manila, Thailand and Singapore. Furthermore through the establishment of state partnerships with the State Railway of Thailand (SRT), Bombardier has been able to rapidly develop infrastructural projects such as the re-signaling of the full BTS Skytrain route and the implementation of its CITYFLO 450 communications-based train control (CBTC) solution. Currently, the company has also signed a prolific agreement with BTS Group to build two monorail systems worth more than Bt20 billion in Thailand and was awarded multiple contracts by the Singapore government to upgrade existing rail networks, provide auxiliary support and metro cars.

As of the end of 2017, Bombardier Transport has reported a total revenue of US$8.5 billion. This accounts for more than half of the total reported earnings of US$16.2 billion by Bombardier Group and is expected to increase exponentially due to the company’s rapid expansion plans in Bangkok, Singapore, Vietnam, Malaysia, Philippines and Indonesia. All of which comprise significant and fast growth markets within APAC which holistically represents a dynamic growth of 2.5 percent, as reported by the the UNIFE 2010 market study.

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World Cities Summit 2018: Dassault Systèmes Signs MoU For Future Development Of Padang Pariaman Smart City Implementation Project

World Cities Summit 2018: Dassault Systèmes Signs MoU For Future Development Of Padang Pariaman Smart City Implementation Project

Singapore: Dassault Systèmes and the District Government of Padang Pariaman signed today a memorandum of understanding, utilising the 3DEXPERIENCE platform for future development of the “Padang Pariaman Smart City Implementation Project”, at the World Cities Summit 2018.

The partnership leverages Dassault Systèmes’ 3DEXPERIENCity solutions to support the digital transformation of the District Government’s various portfolios for document and project management within local government agencies.

Padang Pariaman, Indonesia, is home to seventeen districts in West Sumatra. In recent years, it has successfully modernised its agricultural system, producing superior agricultural commodities while supporting the growth of urban centres.

The leaders of Padang Pariaman are now looking to establish the regency as a smart city, sustainable and livable with balanced rural-urban development. The partnership will bring to the regency Dassault Systèmes’ technological expertise and experience that have proven crucial in smart city projects in cities like Singapore or Rennes, France.

“We are seeing increasing internet and smartphone penetration in the population due to urbanisation in our regency and it is vital for us to drive IoT technology adoption at the public policy level to connect with our people and understand their needs,” said Mr. Drs. H. Ali Mukhni, Regent of Padang Pariaman.

“Smart city management is about understanding the local character of the city in relation to its environment and being able to customise the technology for these unique requirements. The collaborative aspect of the 3DEXPERIENCE platform makes it the perfect fit,” continued Masaki Sox Konno, Managing Director, Asia Pacific South, Dassault Systèmes.

Telkom Set To Support Industrial Revolution 4.0

Telkom Set To Support Industrial Revolution 4.0

Jakarta, Indonesia: On 28 June 2018, Dian Rachawan, enterprise and business service director, Telkom Indonesia, and Sanny Iskandar, chairman of Indonesian Industrial Estates Association, signed a memorandum of understanding on provision and development of telecommunication, edutainment & services, information and media in Jakarta.

At the signing ceremony, Airlangga Hartanto, Industry Minister, explained that President Joko Widodo launched Making Indonesia 4.0 to boost Indonesia’s competitiveness in the global market during this digital era.

He said: “For that, Telkom has an important role in supporting the development of digital infrastructure, especially the provision of fibre optic networks and other infrastructure, while maintaining reliability and security.”

“This cooperation is a manifestation of Telkom’s commitment to help advance Indonesia’s industrial sector by digitizing Industrial Zone to Industrial Estate 4.0 and to add value to both entities in a sustainable manner,” Rachawan commented.

Judi Achmadi, executive vice president of Telkom’s enterprise service division, cited digitisation of products and services, the Internet of Things that creates interconnectivity between people and things, and the use of big data and automation, as key factors of the fourth industrial revolution.

Rachawan added: “Supported by a network of fiber optic infrastructure that currently extends across the archipelago from Banda Aceh to Papua, as well as international infrastructure networks, we are ready to answer the needs of industry players across Indonesia.”

Information and communication technology in Indonesia’s industrial sector is expected to save costs and time, producing more efficient products and services competitive in both the domestic and global markets.

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