First up: Indonesia
While reviewing CML’s further growth strategy for 2014, the company asked itself the question: Why is the fourth largest country in the world (after China India and the US) with a population exceeding 240 Mio., a GDP growth rates in the order of 5-6 % in the last 4 years and South East Asia’s biggest economy not yet on the radar screen of the fabless PCB provider?
After systematically reviewing the country’s fundamentals and market data, the answer could only be there is no reason for not being there. Sifting through the country’s genetics in terms of commodities it can be seen that Electronics is on 2nd place and Automotive is ranked at 7th place.
Theo Langer, Sales & Marketing Director for CML EurAsia, pointed out: “Economists forecast Indonesia to catapult itself from today 16th largest economy to potentially rank number 7 in the year 2030. I am watching the automotive market there. Within 6-7 years Indonesia will emerge as the largest automotive market in ASEAN.”
Mr. Langer continues: “Indonesia is truly an emerging market, with growing domestic demand. Its export ratio decreased over the last 10 years – another indicator that domestic economic growth points generally in the direction of stability.
Despite a new landmark election in April 2014 (the current president steps down after a decade at the helm) and surging imports creating large current account deficits, we are confident that in the long run Indonesia is a force to reckon with.”
Since CML EurAsia is never only investing for the next 20 months but rather for the next 20 plus years, the fabless PCB provider just opened an office in Indonesia. CML Indonesia’s local sales manager Mr. Balli knows the market and will pro-actively help keep CML on its global expansion course.
Theo Langer ended with an outlook: “CML EurAsia put the money where the mouth is. Indonesia is the first emerging market in 2014. We have further targets on our strategic growth map. Stay tuned. There will be more news on these developments”.