Oppo expands factory in Indonesia, plans to hire 1,200 people, aims to maintain market leadership position

Oppo invests in expanding factory in Indonesia, plans to hire 1,200 local workers, aims to maintain market leadership

On November 21, 2567, Nikkei Asia reported that Indonesia has become the second-largest overseas manufacturing base for Chinese mobile phone brand Oppo as the company aims to strengthen its lead in Southeast Asia's largest market, Indonesia.

Oppo launched its latest smartphones in Bali on Thursday (Nov 20) and announced the expansion of its factory in Tangerang, near Jakarta. The newly renovated plant produces the full range of Oppo phones, from budget to high-end.

The plant will employ 1,200 local workers and have a maximum production capacity of up to 2 million phones per month.

Mr. Jefri Fierman de Han, Director of Oppo's manufacturing center in Indonesia Oppo said it is committed to increasing the use of locally sourced components to comply with Indonesia’s Local Content policy, which is crucial for reaching the domestic market.

Oppo currently sources a variety of components in Indonesia, from batteries, adapters, USB cables, packaging materials, software, and applications, with the ratio of locally produced components for smartphones at around 36% to 37%, higher than the government’s requirement of 35%.

The company's factory also has comprehensive test rooms for battery, signal, temperature, drop and dust resistance evaluations.

Oppo entered the Indonesian market in 2556 and set up the country's first smartphone manufacturing plant in 2558. The company has expanded during the COVID-19 pandemic and is now the market leader in Indonesia, with Oppo capturing a 22% market share in the latest quarter, according to Canalys.

These efforts are in line with Indonesia's efforts to attract foreign investment and promote domestic manufacturing, with the Indonesian government recently banning sales of the iPhone 16 after Apple failed to meet its investment commitments.

However, with Apple offering a $100 million investment in Indonesia, negotiations could be in the works to reopen sales.

refer : asia.nikkei.com

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