Japanese shipbuilding and maritime transport company Tsuneishi Holdings has expressed a commitment to invest up to $40 million to open ship repair services in Indonesia, reports The Jakarta Globe.
The Hiroshima Prefecture-based company plans to invest US$40 million in a ship repair project in Indonesia, chief of the Capital Investment Coordinating Board (BKPM) Franky Sibarani said.
Tsuneishi made the commitment at a meeting in Fukuyama with Franky Sibarani when the latter visited Japan last Monday as part of increasing efforts by the government to boost the archipelago’s maritime industry.
Tsuneishi Holdings chairman and president Yasuharu Fushimi said the government’s plan to enhance sea connectivity promised good prospects and was the main reason for his firm to choose Indonesia as its investment destination.
“We see a big potential to develop Indonesia’s shipping industry. We’ve estimated that around 3,293 ships will require repair services each year,” he said in a statement .
Tsuneishi’s presence in Indonesia will also contribute to employment, absorbing approximately 1,000 workers, according to the statement.
Tsuneishi Holdings was one of the first Japanese shipbuilding companies to establish overseas operations. It started building ships in Cebu, the Philippines, in 1994. In 2003, it opened a plant in China's Zhoushan, Zhejiang Province. It has made ships for river transport in Paraguay since 2011.