Hozon Auto‘s brand Neta, a Chinese electric vehicle manufacturer, announced through its official Weibo account that its Indonesian factory received its first batch of production equipment on March 6. This marks a significant step towards achieving localized production in Indonesia. However, this is not Neta’s first foray into overseas manufacturing, as it also announced plans in 2023 for production in Thailand.
According to Neta, they anticipate the first vehicle to roll off the assembly line at their Indonesian factory on April 30 this year. The company has planned for localized production in Indonesia to be carried out in the form of Knocked Down (KD) manufacturing, which is set to commence in the second quarter of 2024.
KD manufacturing encompasses three forms: Completely Knocked Down (CKD), Semi-Knocked Down (SKD), and Completely Built Up (CBU). In the case of Neta Auto, they will import all the parts as separate shipments and assemble them domestically in Indonesia.
Neta debuted in the Indonesian market on October 24 last year, launching the Neta V model, priced at 379 million Indonesian Rupiah (24,000 USD). On November 27, the company held a signing ceremony for cooperation in Indonesia and successfully delivered the first batch of vehicles to Indonesian customers.
The progress made with the arrival of the first batch of production equipment at the Indonesian factory is a significant milestone in Neta’s overseas expansion strategy. It demonstrates the company’s commitment to establishing a presence in the Southeast Asian market, along with its other ambitions to launch in the European market.
In addition to its efforts in Indonesia, Thailand, and Europe, Neta is actively expanding into other global markets, including the Middle East, the Americas, and Africa. To meet the increasing demand from global consumers, the company plans to expand its global sales network in 2024, with a target of covering 50 countries and establishing 500 overseas sales and service centers. These initiatives support Neta’s goal of achieving overseas sales of 100,000 vehicles in the coming year.
As Neta progresses with the setup of their Indonesian factory and gears up for localized production, they are poised to enhance their competitiveness in the Indonesian market and strengthen their position as a key player in the heating up global electric vehicle industry.
