Cheng Shin investing more in Indonesia project
The amount Cheng Shin Rubber will invest in its new Indonesian plant appears to be much higher than previously announced. While in a filing to the Taiwan Stock Exchange in October the Maxxis tyre brand manufacturer said it will invest NT$2.36 billion (£49.7 million) to build a plant in Indonesia in order to increase its ASEAN region presence, talk now is of investing £195 million.
The Jakarta Globe quotes Cheng Shin financial director Richard Lo as saying the company will use bank loans to finance three quarters of the investment, while the remainder will be self-funded. The new facility is expected to enter service by 2015.