JAKARTA (Yosefardi) – Heavy equipment production dropped 26% to 2882 units in first nine months to September of 2015, compared to 3855 units in the corresponding period of 2014.
Jamaludin, chairman of Indonesia Heavy Equipment Association (Hinabi), told Investor Daily that the rupiah depreciation and decline in mining commodity prices impacted on the heavy equipment production. Around 60% of components are imported.
Hinabi, Jamaludin said, has cut its production target for heavy equipment, to 4000 units this year, from initial target of 6000 units, with the production utility reaches 40% of its installed capacity of 10000 units. The industry then had laid off around 4000 workers.