Carmall.com - Indonesia's automotive industry's rapid growth in 2011 has encouraged Toyota Motor Corp. to increase investment in Indonesia. Toyota also decided to increase their production capacity in Karawang from 50,000 to 120,000 units a year.

2011's sales data of 894,180 units sold serves as an indication of Indonesia's important role in the automotive industry. This condition led to Toyota's decision of making more investments.

As quoted by Reuters, a senior Toyota official revealed that they have made an additional investment of US$195,110,000 (around Rp.1.7 trillion) in their production facilities in Indonesia.

In addition for the domestic market, the investment, which will be used in the production of the Innova and Fortuner, will also be used to increase exports to Thailand and South Africa. An analyst from Bahana Securities, Leonardo Henry Gavaza, said that Indonesia's domestic sales last year surpassed that of Thailand's. According to him, this particular condition is one reason that led to Toyota increasing investments in Indonesia.