JAKARTA - The Ministry of Industry continues to encourage the growth of the domestic rubber processing industry. This can strengthen the manufacturing structure in the sector to be more competitive.

"We welcome the investment plan for retreading and producing aircraft tires from Dunlop Aircraft Tyres. We know that Dunlop is a big player, including for producing aircraft tires," said Industry Minister Agus Gumiwang Kartasasmita in Jakarta, Thursday (7/11).

Minister of Industry said that Dunlop Aircraft Tires will cooperate PT. Rubberman Indonesia as its business partner. The collaboration of the two companies is to build a new and retread aircraft tire factory in Karawang, West Java, with an initial investment of around Rp 1 trillion.

In the initial stage, the retread tire factory is projected to be operational within the next 18 months. After that, the two companies will build a facility to produce new tires.

The Minister of Industry added, investment in the construction of a tire factory which is a component of the aircraft also has the potential to spur growth in the industrial sector and national economy. This is in line with the growth in the air transportation sector which has increasingly increased with the construction of several airports throughout Indonesia. (LM)