Chery maintains Indonesia production, studies plans for own factory by 2027
Kompas Otomotif, 12 September '25
Chery is maintaining its automotive production operations in Indonesia while assessing plans to establish an independent manufacturing facility in the country.
The company has confirmed that it continues to partner with Handal Indonesia Motor (HIM) as its car assembly partner.
Rifkie Setiawan, Head of the Brand Department at Chery Sales Indonesia (CSI), stated that the partner's facilities remain adequate to support the company's production requirements.
The manufacturer from Wuhu, China, has deployed a research and development (R&D) team to examine the construction of an independent factory in Indonesia.
The study covers market projections, production capacity, and potential investment structures, both independently and through partnerships. The headquarters team is conducting the study, and the results will be released once available.
While production continues at HIM facilities, Chery has invested in upgrading the assembly plant.
Production lines, including painting, welding, and assembly, have been equipped with new machinery to support the Domestic Content Level (TKDN) target.
The Handal assembly facility functions as Chery's operational plant, with all production lines and equipment aligned with TKDN requirements.
Regarding local suppliers, the latest data from the purchasing division was not available. TKDN for Chery products currently exceeds 40% and is expected to increase further.
Research into the construction of a new factory is expected to be completed by 2027. This study evaluates production locations, capacities, and models suited to Indonesian consumer preferences.
No ground-breaking for the factory has been undertaken, and the research will continue until its projected completion in 2027.