REPUBLIKA.CO.ID, KARAWANG -- Indonesia's export of completely built up (CBU) cars is projected to increase to 200 thousand this year from 170 thousand last year, according to Industry Minister MS Hidayat.

"The competitiveness of Indonesian automotive products continued to increase," he said when launching the maiden export of Toyota Vios cars to the Middle East on Wednesday.

The improving competitiveness can be gauged from the increase in the exports of both CBU and completely knocked down (CKD) cars in the past few years, he said.

He added that Indonesia exported 125 thousand CBU cars in 2012 and 170 thousand CBU cars in 2013. "The export of CBU cars is expected to increase to 200 thousand in 2014," he said.

The export of CKD cars rose to 105 thousand in 2013 from 100 thousand in 2012.

The Industry Ministry predicted the export of CKD cars will reach a record high of 110 thousand this year.

To achieve the target, the government will continue to improve a number of policies, which may encourage foreign auto producers to develop the industry in Indonesia, he said.

The minister further praised the Toyota auto company for turning Indonesia into a hub for its automobile production to meet the demand from export markets.

"On behalf of the government, I highly commend PT Toyota Motor Manufacturing Indonesia (TMMIN) for this achievement," he said.

For the first time, TMMIN exported 1,000 Vios sedans to nine Middle Eastern countries, including Saudi Arabia, United Arab Emirates and Kuwait, on Wednesday.

TMMIN's President Director Masahiro Nonami said the export of Vios sedans is part of the company's plan to increase CBU car exports by 30 percent in 2015.

In 2013, TMMIN exported 118 thousand cars, accounting for nearly 70 percent of the country's overall car exports.

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