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Newsletter "SEI NEWS" 2012

Home > Company Information > SEI WORLD > Back number > Vol.416

[Newsletter "SEI NEWS" Vol.416]

One of the Sumitomo Electric Group’s global bases, Indonesia

With the prospect of its automobile sales reaching 1 million in 2013, Indonesia is regarded as a promising growth market, following China and India.

The Sumitomo Electric Group’s business operation in Indonesia


PT. Sumitomo Electric Wintec Indonesia

This company boasts the largest production of magnet wire for electrical equipment applications among the Sumitomo Electric Group’s global bases.

Business Manufacturing and sales of magnet wire
Established 1995

PT. Sumi Indo Wiring Systems

Sumi Indo Wiring Systems, with the growth of local automobile production, will construct its new factory during fiscal years 2012 and 2013, and aims to increase its production capacity in fiscal 2015 approximately threefold from now.

Business Manufacturing & processing and sales of wiring harness
Established 1992


Business Design, construction, and maintenance works in commercial, industrial, and infrastructure construction projects
Established 1977

PT. Sumiden Serasi Wire Products

Business Manufacturing and sales of tire bead wire, steel cords for tire reinforcement, prestressed concrete steel, and fine wire for springs
Established 1990

PT. Sumitomo Wiring Systems Batam Indonesia

Business Manufacturing & processing and sales of wiring harness
Established 1990

PT. Karya Sumiden Indonesia

Karya Sumiden Indonesia manufactures and sells approximately 40% of copper wire rods and copper wire handled by the Sumitomo Electric Group (approx. 12,000 t/month). It supplies its products mainly to automobile, magnet wire, electronics, and power companies in Asia related to the Sumitomo Electric Group.

Business Manufacturing and sales of wire rods and core wire
Established 1998

PT. Sumi Indo Kabel Tbk.

Business Manufacturing and sale of power, communication, and optical cables
Established July 1981 (capital participation by Sumitomo Electric in 1994)

This spring, the Sumitomo Electric Group expanded its automobile-related production bases

In Indonesia, against a backdrop of the development of motorization and a population of over 200 million people, the demand for automobiles have rapidly expanded, which has accelerated an increase in the number of automobile parts manufacturers that entered Indonesia along with the growth of automobile production. In line with this, we decided to establish local manufacturing and sales companies of sintered products and cutting tools, which have so far been supplied from Indonesia’s neighboring countries.

■Manufacturing and sales company for sintered products
Company name PT. Sumiden Sintered Components Indonesia
Location Bekasi, West Java
Business Manufacturing and sales of sintered products, etc. (engine parts and transmission parts for four-wheeled & two wheeled vehicles, etc.)
Capital 16 million US dollars
Investment ratio Sumitomo Electric Group: 66%,
total of WLK Group and Santini Group: 34%
Established May 2012 (scheduled)
Start of Operation February 2013 (scheduled)

[Sintered structural part]

Sintered products, which are made mainly of iron powder using a powdered metal technique, have been used as complex and high-precision structural parts in various fields, such as automobiles, office equipment, and electric home appliances.

■Manufacturing company for cutting tools
Location Karawang, West Java
Business Design, manufacturing, repair, and sales of cemented carbide tools, diamond-sintered tools, and polycrystalline cubic boron nitride (CBN) tools
Capital 7.5 million US dollars
Investment ratio Sumitomo Electric Hard Metal Manufacturing Co., Ltd.: 80%,
PT. Somagede Indonesia: 20%
Established June 2012 (scheduled)
Start of Operation April 2013 (scheduled)

[Cutting tools]

The new company, introduced above, provides technical services and a wide-ranging product line-up, including diamond-sintered chips for cutting aluminum parts for automobiles, in addition to cemented carbide drills used for the drilling of steel and casting, hardened steel, and sintered CBN chips for cutting hardened steel and cast iron for automobile parts.

■Sales company for cutting tools
Company name PT. Sumiden Powder Metal Indonesia
Location Jakarta
Business Sales of sintered products and cutting tools
Start of operation April 2012 (Opening of business for cutting tool products)
Employees 15 (Japanese expats: 4)

Diamond-sintered cutting tools “Sumidia”


Sintered products


■Basic information on Indonesia

Country name Republic of Indonesia
Official language Indonesian
Capital Jakarta (Population: approx. 9.6 million in 2010)
Area Approx. 1.89 million km2 (approx. 5 times larger than Japan)
Population Approx. 238 million (in 2010)
GDP 707 billion US dollars (in 2010)
GDP per capita 3,005 US dollars (in 2010)
Real economic growth rate 6.5% (in 2011)
Price increase rate 3.8% (in 2011)

Source: Website of the Ministry of Foreign Affairs, etc.

-"Sumidia" is a trademark or registered trademark of Sumitomo Electric Industries, Ltd.

2012 Index
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