| Summary: | Automotive industry is a high technology one which is interconnected with other
industries. Not only interconnected with steel industry, automotive industry is also
interconnected with glass industry, rubber, and even electronic industry. This advantages has
successfully attracted many countries to develop their auto industry, including Southeast Asia
countries. Dominated by Thailand and Indonesia auto market, both countries have been a focus
for auto development in the region. As the biggest auto producer in the region, Thailand is well
known of its vision to become a Detroit of Asia, and it is still leading the auto industry in Southeast
Asia. Slightly different, Indonesia has taken international attention by its auto production
increase, which could pass Malaysia�s production as runner up in 2008. Even though both
countries have similar strategies by depending on global auto principal�s investment, Thailand is
still considered as main option for developing and producing vehicle. Indonesia�s is still focused on
developing and producing mainly MPV, which is the most selling vehicle in the country. This thesis
will discuss more on the effectiveness of Thailand and Indonesia auto industry upgrading process,
and what can Indonesia learn from Thailand�s development.
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