Loans for Automotive Parts Manufacturing and Sales Business of Japanese Company in Indonesia
Supporting Overseas Business Deployment of Mid-Tier Enterprises and SMEs
- Region: Asia
- Manufacturing and Services
- Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
- Overseas Investment Loans
The Japan Bank for International Cooperation (JBIC; Governor, CEO: Hiroshi Watanabe) signed today two loan agreements amounting to a total of USD6,440 thousand (JBIC portion) with YUTAKA INDUSTRY CO., LTD. (YUTAKA INDUSTRY; Headquarters: Aichi Prefecture; President: Hiroshi Sugiura). The loans are cofinanced with Sumitomo Mitsui Banking Corporation, bringing the total cofinancing amount to approximately USD9,200 thousand.
These loans are intended to finance the automotive parts manufacturing and sales business conducted by PT. YTK INDONESIA (YTK), an Indonesian subsidiary of YUTAKA INDUSTRY. The funds will be used for the expansion of YTK's production facilities.
YUTAKA INDUSTRY, a small and medium-sized enterprise (SME) engaged in the manufacturing and sales of automotive parts, established YTK in 2011 as a production and sales hub for the Indonesian market. YUTAKA INDUSTRY seeks to further expand its business by enhancing YTK's production capacity and increasing its sales to global auto makers in Indonesia, where the need for automotive parts is expected to continue to be strong in the future backed by the increasing demand for automobiles. Through supporting such overseas business deployment of YUTAKA INDUSTRY, this financing will contribute to maintaining and strengthening the international competitiveness of Japanese industries.
As Japan's policy-based financial institution, JBIC will continue to support the overseas business deployment of Japanese companies, including mid-tier enterprises and SMEs, in growing markets such as Indonesia, by drawing on its various financial facilities and schemes for structuring projects, and performing its risk-assuming function.