Business Exchange
Indonesia: Moves to transfer factories overseas
Joint-venture firms are increasingly considering the transfer of factories oversea, a trend that may accelerate.
Even among domestic firms, there is the emergence of firms considering the transfer of factories overseas because of economic and social confusion as well as a radical labor union movement. Nevertheless, there are also many firms which are unable to decide for fear of troubles with employees in closing or maintaining factories.
According to a certain Taiwanese-affiliated firm, smallscale knitwear and apparel factories are withdrawing once and for all. In the case of factories on a sizable scale, however, they employ the method of reducing the scale of factories in Indonesia by taking time and transferring equipment gradually to a particular overseas country.
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Press Releases
- Indonesia's Textile and Clothing Exports were worth US$8,671 million in 2005, Representing 10.1% Of the Country's Total Exports.
- Indonesian Clothing Exports Expanded at a Healthy Pace in January - May 2006 Thanks to Strong Demand in the USA - 'World Textile and Apparel Trade and Production Trends - Edition 2, 2006'.
- The Newly-Published Q406 Indonesia Food & Drink Report Examines the Growing Importance of the Country's Bottled Water Industry.
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