The Government of Indonesia through the Ministry of Industry (Kemenperin) is collaborating with the Japan International Cooperation Agency (JICA) within the framework of the 2022-2025 Automotive Industry Development Program.
“We really appreciate the in-depth study by JICA which is needed by the automotive sector,” said the Director General of Metal, Machinery, Transportation Equipment and Electronics (Dirjen ILMATE) of the Ministry of Industry Taufiek Bawazier in Jakarta, Saturday (28/5/2022).
Taufiek conveyed that there were three pilot projects that would be carried out as the implementation of the cooperation program. The three are the matchinghub program, the R&D&D assistance program, as well as the export strategy development program for the Indonesian automotive industry.
“Research and studies are important capital for formulating policies for the development of the automotive industry. We are very grateful to JICA for carrying out studies to adopt the best policy,” he said.
The Director General of ILMATE explained that the project is related to the government’s automotive sector development policy, for example the 300% Super Deduction Tax for the manufacturing industry that invests in research and development (R&D).
Some time ago, the Ministry of Industry held a Joint Coordinating Committee (JCC) Meeting in Jakarta, as a kick-off of the cooperation program.
Representative of JICA, Mr. Tomoyuki Yamada said that three pilot projects for the Ministry of Industry-JICA collaboration would be carried out simultaneously in the 2022-2025 period by three working groups .
The first project is the implementation of digitization through the matchinghub of component business entities and system integrators which aims to improve production processes and factory management in the local automotive industry.
The second project is research, development, and design (R&D&D) assistance for the use of Super Deduction Tax incentives according to PMK 153/2020. This project will be carried out in the form of developing R&D&D implementation guidelines so that it can be utilized by more business entities.
“The target participants for this project are industries that are carrying out or are interested in developing technology, innovating in the design process, and other R&D&D activities,” said Yamada.
While the third project is the development of an export strategy which is carried out in the form of studies related to market structure, safety standards, product acceptability, production capacity, regulations, the tax system, and business practices of the automotive industry in Indonesia. From there, a formulation of the best export strategy will be made in the context of developing the national automotive industry.
“The JICA team also conveyed the targeted outputs, detailed timelines per working group, as well as stakeholders who are expected to participate in the success of this cooperation program between the Ministry of Industry and JICA,” added Yamada.
The JCC Meeting activity was also attended by representatives of the Japanese Ambassador to Indonesia, representatives of the Nomura Research Institute (NRI), representatives of ministries and agencies, vocational schools, and Indonesian motor vehicle associations.
Senior adviser to the Association of Car and Motorcycle Equipment Industries (GIAMM) Rachmat Basuki said that the cooperation program was very useful for the industry.
According to him, the matching hub is very important and his party agrees to implement the program.
“In addition, local suppliers are also the key to competitiveness, so we need to encourage association members to increase exports,” said Rachmat.
The same thing was conveyed by the General Secretary of the Association of Indonesian Automotive Industries (GAIKINDO) Kukuh Kumara.
According to him, Indonesia needs to increase automotive exports according to the target to be achieved in 2035.
President of the Indonesian Automotive Institute (IOI) I Made Dana Tangkas also gave a positive response to this collaboration. According to him, Indonesia has potential in the automotive industry, so he expects this sector to be the best in ASEAN. (ATN)
Source: Asiatoday.id
