Loan for Automobile Manufacturing Business of Indonesian Subsidiary of Mitsubishi Motors Corporation
Supporting Overseas Business Expansion That Contributes toward Enhancing Supply Chain Resilience of Japanese Automobile Industry

• Region: Asia
• Manufacturing and Services
• Overseas Investment Loans

1. The Japan Bank for International Cooperation (JBIC; Governor: HAYASHI Nobumitsu) signed a loan agreement^*1 amounting to up to approximately USD32 million (JBIC portion) with PT Mitsubishi Motors Krama Yudha Indonesia (MMKI), an Indonesian subsidiary of Mitsubishi Motors Corporation (Mitsubishi Motors). The loan is co-financed with MUFG Bank, Ltd., Mizuho Bank, Ltd., PT Bank BTPN Tbk, and PT Bank Permata Tbk, bringing the total co-financing amount to approximately USD57 million.
     
2. The loan is intended to provide the necessary funds for MMKI to manufacture automobiles in the Republic of Indonesia^*2.
     
3. Mitsubishi Motors aims to concentrate its management resources on the ASEAN region, where it is competitive, and maintain and grow market share by enhancing its sales network, production capacity, and product development in the region. This loan is intended to support Mitsubishi Motors' overseas business in Indonesia, which is strategically important in the ASEAN region for the company, and contribute to the strengthening of the supply chain resilience of the Japanese automobile industry as well as maintaining and improving its international competitiveness. Mitsubishi Motors has also been working on the reduction of greenhouse gas emissions in order to achieve carbon neutrality by 2050, based on its sustainability strategy. In Indonesia, it promotes the use of renewable energy, and it launched the sale and production of kei-car^*3 class electric commercial vehicles. The loan will also support the efforts of the company.
     
4. As Japan's policy-based financial institution, JBIC will continue to provide financial support to help with efforts to enhance the supply chain resilience of Japanese industries and assist Japanese companies in the overseas expansion of their businesses.
     

Note

1. *1 
   The loan agreement was signed on March 22, 2024.
2. *2 
   The loan follows similar loans made to MMKI in September 2020 and June 2022.
3. *3 
   Kei-car is a vehicle category in Japan for microcars.