Foxconn postpones Indonesia investment

Foxconn postpones Indonesia investmentTaiwanese electronics manufacturer Hon Hai Precision Industry Ltd, or Foxconn, has delayed its huge investment in Indonesia, according to the country’s industry minister MS Hidayat.

The minister said on December 17 that there were “several requests” from the Taiwanese firm relating to tax incentives and other regulations that the government is still considering.

“In addition, there are also several terms and conditions the firm has yet to meet with a number of candidates for its local partners here,” he said at a press briefing in Jakarta.

“The situation makes it necessary to postpone the plan for a couple of months, perhaps around three to six months from this December,” Hidayat said.

Foxconn previously said it was looking to spend as much as $1 billion on establishing a factory in Indonesia, as reported by Inside Investor. Indonesian government officials claimed that the total investment could even reach $10 billion and employ up to 100,000 people in several factories and the supply chain.

Hidayat said the initial investment to be made by Foxconn may reach $2 billion to $3 billion. He declined speculation that Foxconn had reconsidered its business expansion to Indonesia amid increasing labour protests.

Foxconn it is the world’s largest maker of electronic components, with clients including Apple, Dell and Microsoft. Popular products that the company manufactures include the iPad,iPhone, iPod, PlayStation 3and Xbox 360. However, it has repeatedly been in the global news for poor labour conditions in its factories.

Foxconn’s possible partners in Indonesia include PT Hartono Istana Teknologi, a major manufacturer of consumer electronic products under the Polytron brand, state-owned cellular network developer PT Industri Telekomunimasi Indonesia, and Indonesia’s largest telecommunication provider PT Telekomunikasi Indonesia.



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Taiwanese electronics manufacturer Hon Hai Precision Industry Ltd, or Foxconn, has delayed its huge investment in Indonesia, according to the country's industry minister MS Hidayat. The minister said on December 17 that there were "several requests" from the Taiwanese firm relating to tax incentives and other regulations that the government is still considering. "In addition, there are also several terms and conditions the firm has yet to meet with a number of candidates for its local partners here," he said at a press briefing in Jakarta. "The situation makes it necessary to postpone the plan for a couple of months,...

Foxconn postpones Indonesia investmentTaiwanese electronics manufacturer Hon Hai Precision Industry Ltd, or Foxconn, has delayed its huge investment in Indonesia, according to the country’s industry minister MS Hidayat.

The minister said on December 17 that there were “several requests” from the Taiwanese firm relating to tax incentives and other regulations that the government is still considering.

“In addition, there are also several terms and conditions the firm has yet to meet with a number of candidates for its local partners here,” he said at a press briefing in Jakarta.

“The situation makes it necessary to postpone the plan for a couple of months, perhaps around three to six months from this December,” Hidayat said.

Foxconn previously said it was looking to spend as much as $1 billion on establishing a factory in Indonesia, as reported by Inside Investor. Indonesian government officials claimed that the total investment could even reach $10 billion and employ up to 100,000 people in several factories and the supply chain.

Hidayat said the initial investment to be made by Foxconn may reach $2 billion to $3 billion. He declined speculation that Foxconn had reconsidered its business expansion to Indonesia amid increasing labour protests.

Foxconn it is the world’s largest maker of electronic components, with clients including Apple, Dell and Microsoft. Popular products that the company manufactures include the iPad,iPhone, iPod, PlayStation 3and Xbox 360. However, it has repeatedly been in the global news for poor labour conditions in its factories.

Foxconn’s possible partners in Indonesia include PT Hartono Istana Teknologi, a major manufacturer of consumer electronic products under the Polytron brand, state-owned cellular network developer PT Industri Telekomunimasi Indonesia, and Indonesia’s largest telecommunication provider PT Telekomunikasi Indonesia.



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Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

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Personal Info

Donation Total: $10.00

 

 

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