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Indonesia Needs to Improve Domestically-produced Plastic for Automotive Products

JAKARTA— Plastic manufacturers in Indonesia hopes that the use of domestically-manufactured plastic for automotive industry will increase. Mutual supports among industries are required to strengthen the growth of national industry at large.

“All we need now is commitment from other fellow industries— including automotive industry— to using domestic plastic products,” said Secretary of the Association of Indonesia Olefin, Aromatic, and Plastic Industry (INAPLAS), Mr Fajar Budiono in Jakarta in early April 2016.

He assures that the domestically-manufactured plastic product is adequate to support automotive industry’s needs. Some 80 percent plastic for motorbike products has sufficiently supplied by domestic plastic. Plastic industry is convinced that they can do the same to support plastic needs for automobile products. “But we also must admit that we have not yet in the capacity to supply plastic for engine parts. We are on progress to develop that capacity,” he said.

Mr Fajar said that communication between automobile industry and its plastic counterparts needs to be intensified to improve the use of domestic products. The growth of automotive industry should trigger wider impacts to its supporting industries, he said. GAIKINDO’s report indicates that car sales in 2015 saw 1,013,291 units.

He estimates that car industry in Indonesia annually needs some 200,000 tons of plastic. Meanwhile, the domestic plastic industry can only supply some 80,000 tons. “We are about to find partners in automotive industry to generate more domestic plastic products. We not only reach Japanese, but also Korean and Chinese principals,” he said.

In order to improve domestic plastic use for automotive industry, according to Me Fajar, the Government can play its role to help prepare test labs of the domestic plastic. So far, they still have to make plastic lab test abroad, such as Thailand. Thailand not only manages to suffice its domestic need for plastic, but also exports its plastic to Indonesia.

He also urges RI Government to strengthen research and development programmes to hasten the switch from imported plastic to that produced domestically. So far, RI Government has been focusing on the urge to use domestic steel by automotive industry. (Kompas)