EPCOS, a global leading manufacturer of electronic components and modules, has started construction of a new plant in Batam , Indonesia . The new facility, which will be owned and operated by the newly formed PT. EPCOS Indonesia, will manufacture mainly temperature sensor systems. These ceramic components are used in heating and cooling systems in automobiles and domestic appliances. The new plant, which is located in the Panbil Industrial Estate, is scheduled to commence production in the summer 2008.
For the new production facility, EPCOS will invest a high single-digit million euro figure, thus representing a further commitment to Indonesia as a manufacturing location in the fast-growing Asian market. The new plant is an essential part of the restructuring of EPCOS' activities in Batam. It will replace one of two sites currently operated by the Batam-based subcontractor PT. Hi-Tech Agratektron Sempurna. By insourcing manufacturing on Batam Island EPCOS will streamline its processes and further improve quality management. With the new plant, for example, logistic and incoming goods inspections will be consolidated into one centralized operation. Moreover, the new plant offers expansion capacity for future growth. Altogether, PT. EPCOS Indonesia will employ approximately 1500 employees at the new plant, when production begins in 2008
EPCOS' activities in Indonesia date back to 1990, when its predecessor Siemens contracted PT. Hi-Tech to assemble ceramic components. As a manufacturing subcontractor PT. Hi-Tech provides manpower, operation space and production facilities. EPCOS will continue to work closely with PT. Hi-Tech in the future. Besides temperature sensors and sensor systems EPCOS' manufacturing portfolio in Batam currently comprises multilayer ceramic capacitors, disc varistors and PTC thermistors.