March 18, 2025
Kendal, March 18, 2025 - PT Sitoy Leather
Products Indonesia, a subsidiary of Sitoy Group Holdings Limited and one of the
world's largest manufacturers of luxury leather bags and goods, has officially
opened its new factory in the Kendal Special Economic Zone (SEZ), Central Java.
The inauguration marks Sitoy's first strategic expansion in Southeast Asia,
strengthening its position in the global supply chain. With an investment of
USD 50 million, the factory is equipped with 30 production lines and is expected
to create approximately 2,800 new jobs for the local workforce.
Michael Yeung Wah
Keung, Chairman of Sitoy Group, revealed that the presence of this factory
reflects the company's confidence in Indonesia's great potential as a
manufacturing center. "We are very excited to open the new factory in
Kendal SEZ. Indonesia has a competitive labor force and growing infrastructure.
We are confident that this factory will play an important role in supporting
the world's luxury bag brands and benefit the local economy," he said.
In addition to expanding production
capacity, Sitoy is expected to have a significant economic impact on the
surrounding community. With the creation of thousands of new jobs, the company
is committed to developing the skills of the local workforce to compete in the
global manufacturing industry. In addition, Sitoy applies ESG (Environmental,
Social, and Governance) principles in its operations, including energy
efficiency, the use of environmentally friendly raw materials, and the
improvement of employee welfare.
PT Sitoy Leather Products Indonesia will
focus on producing leather bags and accessories for global premium fashion
brands. Sitoy has been recognized as a key manufacturing partner for well-known
brands such as Cole Haan, Tuscan's, Duffy and F&J. Products from this
factory will be marketed to various countries such as North America, Europe and
Asia, with the main target being premium retail and global e-commerce.
Sitoy's presence in KEK Kendal also
strengthens the fashion industry ecosystem in Kendal Industrial Estate (KIK).
Juliani Kusumaningrum, Executive Director of KEK Kendal, commented on the
importance of this investment in complementing the industrial sector in the
area. "The addition of Sitoy to KEK Kendal certainly strengthens the
fashion industry ecosystem in the area, which covers the supply chain from
textiles to premium leather products. This proves that Kendal SEZ is
increasingly being recognized as a leading investment destination for the
global fashion industry. We are also optimistic that Sitoy's presence will not
only encourage investment, but also provide opportunities for the local
workforce to enhance their skills and contribute to an international standard
manufacturing industry."
Juliani added, "From KEK
Kendal's side, we will continue to provide the best infrastructure, conducive
investment policies and various operational facilities so that industry players
in Indonesia can develop sustainably. We believe that the synergy between
Kendal SEZ and companies like Sitoy will further strengthen the competitiveness
of the national industry in the global market".