It's time to say goodbye to Datsun. Datsun Go+ is one of LCGC cars in Indonesia. The production will stop by January 2020. (Image via Liputan6.com)

2020, Nissan to stop Datsun production in Indonesia

Revealed through a text message on Monday, the Director-General of Industry Ministry’s Metal, Machinery, Transportation and Electronics, Harjanto, confirmed the rumor that Nissan Motors Indonesia (NMI), as the sole agent of Datsun in Indonesia, will stop Datsun’s production line in Indonesia starting in January 2020.

Harjanto said that the reason was due to the failure to fulfill the economies of scale. NMI had submitted the plan to the Industry Ministry. However, the Industry Minister did not mention when did NMI submit the change of business scheme plan.

The factory used to assemble Datsun’s product will be used to produce 1,500cc machine for Nissan Livina, also used in Mitsubishi Xpander. Currently, the machines for Xpander and Livina were imported directly from Japan.

Nissan had two factories in West Java: one for Nissan units and the other, established in 2014, is for Datsun’s. One factory was said to discontinue producing Nissan Livina because its new generation is being produced by Mitsubishi Indonesia.

Regarding the fate of Datsun in Indonesia, Harjanto could not say much. Without local production and with imported units only, Datsun is most likely to continue its business in Indonesia.

Nissan had not given any comment regarding Datsun.

While roaming in Indonesia, Datsun had introduced three cars: Go, Go+, and Cross. Go and Go+ units are classified as “Low-Cost Green Car” (LCGC).

Source: https://bit.ly/2XJps02