Bosch Expands Presence in Indonesia with Advanced Manufacturing Facility
Strategic Investment in Electric Vehicle Technology
Bosch is making a significant investment in Indonesia's growing automotive sector with a new €25 million modular factory in Cikarang 3. The facility, spanning 82,000 square meters, will serve as a centralized location for various Bosch business units, producing critical components like Battery Management Systems (BMS) for electric vehicles 2. This strategic move demonstrates Bosch's commitment to Indonesia's developing EV ecosystem and its position as a key player in the region's automotive industry.
Indonesia's Automotive Sector Growth
The Indonesian government's initiatives to promote low-carbon emission vehicles (LCEV) have shown significant results, with 878,000 units produced between 2022 and September 2025 1. This growth is supported by 15 major companies participating in the LCEV program, which includes various types of eco-friendly vehicles such as Hybrid Electric Vehicles (HEV), Plug-in Hybrid Electric Vehicles (PHEV), and Battery Electric Vehicles (BEV) 1. The program has also had a positive impact on local employment, with 182,348 jobs created in the automotive component industry as of August 2025 1.
Regional Significance and Future Prospects
The new Bosch factory is designed with a modular concept, representing the company's first global implementation of this approach 3. With production scheduled to begin in Q1-2027, the facility is expected to enhance Indonesia's position in the regional automotive supply chain while supporting the country's transition to electric mobility. The investment aligns with Indonesia's broader strategy to become a significant player in the global electric vehicle market.