As a company engaged in electronic manufacturing services, PT Sat Nusapersada, Tbk. (PTSN), expressed its commitment that the company has been prepared to face ASEAN Economic Community (AEC). As stated by President Director of PT Sat Nusapersada Tbk., Abidin, in facing AEC at the end of this year, although it has been prepared, the company still needs legal certainty.
“Competing with other ASEAN countries such as Singapore, Indonesia is quite superior. Precisely among other ASEAN countries, it is tough when dealing with Thailand and Vietnam. Because Thailand has a fairly solid supporting industries, such as automotive products, that have entered Indonesia, and most of them are mostly produced in Thailand. Likewise, there are some electronic products that are still imported by Indonesia from Thailand.
Both Vietnam and Thailand have been prepared by strengthening their local content in their industries. Thailand has long embarked on local content program, and there is a number of world brands that have started to make investment, both in Thailand and Vietnam. That is why Indonesia should already start the rule on the use of local content (TKDN) as this rule does not violate the regulations of the World Trade Organization (WTO). A country has the right to protect its interests by reason of increasing the competitiveness potential of the industry.
Meanwhile, other countries such as the Philippines, is still below the competitiveness potential of Indonesia in the fields of electronics, mainly because of its national security. It is estimated that Indonesia’s strength is almost equivalent to Malaysia, “he told Business News. Samsung makes Indonesia a Mobile Phone Production Base.
Meanwhile, during the launch of mobile phone factory of PT. Samsung Electronics Indonesia (SEI) in EJIP Cikarang Industrial Area, Bekasi, West Java, on Tuesday (June 16). Industry Minister Saleh Husin expects that with the operation of the plant, it is expected that PT SEI to continue to make Indonesia its production base to meet the needs of the domestic and export markets.
The minister appreciated PT SEI who participated in building assembly plant for the production of mobile phones. “The seriousness of the company in developing mobile phones in Indonesia is expected to continue, where at this early stage is assembly process in the form of semi-knocked down (SKD), and will continue in the form of completely knocked down (CKD) and also in the form of surface mount technology (SMT), “he hoped.
The minister also believes that the company’s commitment to develop mobile phone industry in Indonesia in an attractive option and the right location to invest. In the first stage in 2015, Samsung invested in the construction of mobile phone assembly plant at USD 23 million.
The production capacity of the plant ranges from 1 to 1.5 million units per months with 14 production lines that manufacture smartphones, feature phones and tablet computers. The factory which occupies an area of 6,000 m2 absorbed 972 workers. This company has given employment opportunities to quite a lot workers, as well as contributing to increase of human resource development and social welfare.
In addition, the establishment of mobile phone factory of PT. SEI provides room for growth of supporting industries, such as mobile phone parts industry. “It is expected that the mobile phone industry in the country continues to grow and plays an important role as well as being part of the supply chain of the world’s mobile phone products,” he said.
The Minister of Industry urged the company to continue to increase local content by involving more domestic industries. “To maintain the continuity of the company, we expect that the leaders of the company, the management and the employess can work well together to build a harmonious relationship, so as to create a good working atmosphere in order to encourage productivity increase,” he said.
Business News - June 19, 2015