31 March 2008

DAIMLER MAY EXPAND BUS CAPACITY

Daimler AG, the world's largest maker of commercial vehicles, may raise its production capacity for buses in Indonesia as much as 15-fold.

The company may invest 10 million euros ($16 million) to expand capacity at its factory in Bogor, West Java, Rudi Borgenheimer, president of Mercedes-Benz Indonesia, said in Jakarta.

The company forecasts Indonesia sales of its buses and cars will double this year to 3,000 vehicles.

Daimler may use the country as a manufacturing base for exports of buses to Southeast Asia and Africa and will decide on expansion in the next six months, Borgenheimer said.

After the investment, Daimler's capacity could rise to 9,000 buses a year from the current 600.

Source : indonesia.go.id