According to media reports, Honda is planning to relocate its Indian assembly plant to Indonesia. This was revealed by the country's minister of industry Agus Gumiwang.
The minister also confirmed that Honda was planning to invest IDR 5.2 trillion (US$ 355 million) by 2024. The carmaker would be developing new models including an electrified one in Indonesia. Further, the company would be looking to increase its export activities; essentially making Indonesia a production hub for Honda cars and their components.
Honda's Indonesian subsidiary operates two assembly plants located in Karawang and West Java. The factories have an annual capacity of 280,000 units and produce the CR-V, HR-V, BR-V, Mobilio and Brio.
Last year, Honda Motor India had relocated all production activities from its Greater Noida plant to the Tapukara unit in Rajasthan, which is spread over 450 acres and has an installed production capacity of 180,000 units per annum.