Mercedes-Benz Indonesia begins local assembly of heavy-duty trucks

10/12/2017 Latest News, Member News

A strategic achievement, the local assembly of Mercedes-Benz’s Axor heavy-duty trucks expands the carmaker’s portfolio and reaffirms its commitment to continue investing in Indonesia.

Mercedes-Benz Indonesia celebrated its strategic achievement in its commercial vehicle business line with the rolling out of its first, locally assembled heavy-duty trucks out of its Wanaherang factory in Gunung Putri, Bogor. The Mercedes-Benz Axor 2528C is set to be the first model of a series of truck models within the company’s plan to expand Mercedes-Benz’s product portfolio for the heavy-duty market segment.

The launching, held on August 29, 2017, was presided by Markus Villinger, CEO of Daimler Commercial Vehicles Indonesia, and Kay-Wolf Ahlden, Head of Daimler Commercial Vehicles regional center for South Asia. The event was also attended was the Deputy Minister for Business and Industry at the Ministry of Economy, Edy Putra Irawady, and the Director General for Base Metal Industries at the Ministry of Industry, I Gusti Putu Suryawirawan. Also in attendance were the German Deputy Chief of Mission Hendrik Barkeling and EKONID Managing Director Jan Rönnfeld.

Mr. Villinger, in his opening remarks, said, “Mercedes-Benz has built significant credibility in the Indonesian market since it first began doing business here in the 1950s. With the locally assembled heavy-duty Axor trucks, we want to utilize this legacy and the power of our brand to reach out to new customers on Mercedes-Benz’s trucks in this continually growing market”.

The trucks are being assembled in the 42-hectare Mercedes-Benz factory in Wanaherang, which has been in operation since 1978. The factory has had a reputation for providing the best quality in assembling Mercedes-Benz cars and bus chassis. To accomodate the new assembly work for a total capacity of 4,500 trucks per year, the company announced that it would invest some US$25 million into the factory over the few coming years.

“This investment is a clear sign of our committment towards Indonesia. It brings us closer to our customers and enable us to work with local suppliers and create new jobs for quality workers,” said Mr. Villinger.

Mr. Ahlden, added in his remarks that, “for Daimler trucks, Indonesia is the most important market in Southeast Asia. Ever since the FUSO [one of the earliest models of Mercedes-Benz trucks] entered the market in 1970, this brand has grown into a leader with a strong portfolio, as well as strong sales and service. By producing the Mercedes-Benz Axor trucks locally, we can now target growth opportunities with two strong brands for two different market segments”.

The Mercedes-Benz Axor 2528C assembled in Indonesia features a 6-cylinder machine and a wheelbase of 4.2 meters, which enables a load capacity of 20 tonnes. The second model to be added to the assembly line this year is the Axor 2528R, which is specialized to meet the needs of the logistics industry. In total, the company plans to introduce over 11 variants of the Axor model to its Wanaherang factory. At the same time, the company aims to continue to offer the Actros model for future specialized purposes.