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Peugeot and Low Cost Green Car Project in Indonesia

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Since Indonesia seems to be able to produce its own low cost vehicles, other international auto brands have been attracted to the idea. The idea of being able to make low cost and also green car in Indonesia has been declared by Peugeot. Represented by Dwi Putra, the sales manager for ASEAN regional, the company has said that they’re interested of the idea of making green car with low budgets and low cost model. This program has been mentioned by Indonesian government in order to boost national auto sales and production.

The company has been discussing and making plans concerning the program. They even boost every division performance, including their technical center division located in Shanghai. Peugeot’s interest has been stated when Gregoire Olivier, the CEO of Peugeot Asia came to Jakarta in relation to LCGC project. In order to participate in the LCGC project, most of the vehicles need to be assembled in Indonesia and most of the equipments and materials are using abut 90% of local contents. It’s likely that Peugeot will make use of the assembly equipments and means from PT.Astra International.

However, Peugeot is still waiting for confirmation and official permission from Indonesian government. If they’re accepted in the program, then it will compete against Mitsubishi, Honda, and Datsun.

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