Bridgestone Corp. plans to establish a joint venture company to produce anti-vibration rubber products for automotive vehicles in Indonesia.
The agreement was concluded on July 2 with PT Astra Otoparts Tbk, which manufactures and sells automotive parts in Indonesia.
The JV is to build a manufacturing plant of anti-vibration rubber products, which is set to start operations in January 2016, according to a Bridgestone statement. The total amount of the investment by Bridgestone and Astra Otoparts will be $13 million.
Bridgestone has seven facilities in five countries to manufacture automotive anti-vibration components. To achieve further global expansion, the firm said it needed a manufacturing base in Indonesia, a major car making state in the ASEAN region.