FCC

DCVMI Inaugurates New Manufacturing Plant in Cikarang

2025-06-16

Daimler Truck marked a significant milestone in its regional expansion with the opening of Daimler Commercial Vehicles Manufacturing Indonesia (DCVMI)—a cutting-edge greenfield manufacturing facility located in the Cikarang Industrial Area, Indonesia. This strategic investment underscores Daimler Truck’s long-term commitment to Southeast Asia, tailored to meet the region’s dynamic and evolving mobility needs.

The new DCVMI plant spans 15 hectares and has an annual production capacity of 5,000 Mercedes-Benz trucks and buses. With a total investment of IDR 500 billion, this facility embodies Daimler Truck’s commitment towards strengthening the commercial vehicle industry in Indonesia and serves as a cornerstone of the company’s regional growth strategy—acting as a hub for vehicle assembly and distribution across key Southeast Asian markets. What sets this initiative apart is its collaborative foundation, rooted in the precision of German engineering, the strength of Indian manufacturing, and the insight of Indonesian market experience.

India plays a pivotal role in this regional synergy. The new Indonesian facility will be seamlessly supported by Daimler India Commercial Vehicles (DICV), based in Chennai, which will supply high-quality Completely Knocked Down (CKD) kits. DICV’s proven excellence in cost-efficient, world-class manufacturing ensures operational efficiency and supply chain resilience, while optimizing localisation and scalability.

Satyakam Arya, Managing Director and CEO, Daimler India Commercial Vehicles, emphasized the plant’s significance as part of Daimler Truck’s long-term strategy in Southeast Asia. “India remains a cornerstone of our global export strategy. Leveraging Indonesia for the ASEAN region is about expanding our reach, not shifting our focus. As DICV becomes further integrated into Daimler Trucks’ global manufacturing network, we will play a key role in building capabilities in Indonesia—transferring knowledge, developing talent, and strengthening the regional ecosystem.”

The opening of DCVMI’s new factory is a concrete realisation of the “Bigger and Better” vision. More than just expanding the scale of its facilities, this step also brings improvements in agility, improved workflow, and the resilience of solutions for customers in Indonesia. This initiative affirms the company’s commitment to providing commercial vehicles that truly meet local market needs, from production efficiency and service reliability to the ongoing adoption of innovation. The collaboration between Daimler’s global technology and the strength of the local Indonesian team serves as a solid foundation, ensuring that every product supports the business growth of customers throughout Indonesia.

"The integration of India’s advanced manufacturing capabilities into our Southeast Asian operations highlights our unified global approach," Satyakam said. "By combining German engineering excellence with India’s production strength and deep Indonesian market understanding, we are creating a robust platform for long-term success in the region," he added.

The plant will continue producing flagship models such as the Mercedes-Benz Axor Trucks: 2528 CH, 4928 T, 4028 T, 4023 T, 2528 RMC, 2528 CX, and 2528 C, as well as Mercedes-Benz bus chassis: OH 1626 L and OH 1626 S, specifically designed for the Indonesian market.

Sankaranarayanan Ramamurthi, President Director of DCVMI, stated that the inauguration of the plant marks a new growth phase for DCVMI in Indonesia. “This plant is not merely an addition to our infrastructure—it is a manifestation of our vision to make a tangible contribution to Indonesia’s economy, empower local communities, and build a stronger industrial ecosystem. Each unit produced here reflects not only engineering excellence but also the spirit of collaboration and our confidence in Indonesia’s future. We are committed to continually creating job opportunities, innovating, and contributing to growth in and for Indonesia,” he explained.

DCVMI’s new plant in Cikarang adopts an integrated manufacturing system under one roof, enabling more efficient and streamlined production processes. It is equipped with a test track to simulate various road conditions and an advanced paint booth to enhance paint quality, all aligned with Mercedes-Benz’s global manufacturing standards.

This tri-nation collaboration not only strengthens Daimler Truck’s footprint in Asia but also enables faster innovation cycles, increased flexibility, and a sharper customer focus—delivering vehicles that meet local demands with global standards of quality and performance.