On the 9th of October, Toyota announced that it would continue to develop Indonesia as a research and development hub for the global south and developing countries. Alongside this announcement, the auto giant also disclosed that it has exported 3 million completely built up (CBU) vehicles from Indonesia to global markets.
3 MILLION AND COUNTING
According to the company’s press release, PT. Toyota Motor Manufacturing Indonesia (TMMIN) has been exporting vehicles globally since 1987. For the company, their 3 million exports were largely helped by “strong collaboration with the [Indonesian] government, industry partners, including a strong supply chain, and the continuous support of the Indonesian people who drive the progress of the national automotive sector.”
As of October 2025, Toyota Indonesia has produced 10 million vehicles. Its industry partners include “240 Tier-1 local suppliers and more than 520 Tier-2 and Tier-3 suppliers.” The company’s Indonesia-assembled vehicles have also reached more than 80 per cent local content. Overall, Toyota’s investment in Indonesia since its initial entry has amounted to IDR 100 trillion or AUD 9.2 billion.
TOYOTA AND INDONESIA
Minister of Industry Agus Gumiwang Kartasasmita acknowledged that Toyota and Indonesia’s partnership has positively benefitted the country’s local industry. The minister stated that in 2024, Indonesia’s automotive industry doubled the country’s overall economy. Overall, Indonesia’s motor vehicle industry has a gross value added of IDR 180 trillion (AUD 16.6 billion).
“Toyota Indonesia has become one of the main drivers of the national automotive industry with significant contributions to exports and employment,” he said.
“The automotive industry not only produces vehicles, but also drives the supporting industrial ecosystem such as steel, rubber, plastic, metal, and the transportation and logistics sectors,” added Agus.
MOVING FORWARD
“Looking ahead, we will strengthen our operations in Indonesia as an Research and Development (R&D) hub and export hub for the Global South. Together with many partners, we will continue working hard to make ever-better cars for the smiles of the people of Indonesia and for the prosperity of this great nation,” stated President of Toyota Motor Corporation (TMC) Koji Sato at an event with high-ranking Indonesian politicians present.
Over the years, TMMIN has become an established R&D centre especially for “standardisation and agro-industrial services.” Earlier in September, Toyota partnered with the Ministry of Industry on a project to convert “empty palm oil fruit bunches into bioethanol.” This process is developed from advanced glucose extraction technology, which converts organic waste into renewable energy.
Joining Toyota and the Ministry of Industry as an industrial partner is the Bandung Institue of Technology.
“The production of bioethanol from palm oil waste on an industrial scale is a key priority for Indonesia. I am confident that the partnership between government, industry, and academia will form the foundation for the implementation of sustainable technologies,” said Minister Agus in a separate statement.
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