BMW 520/4 of Anka Kosasih in Jakarta. (from left to right: Ulli, Jendy, Anka, Didot), 2011-02, ©

In the year 1975 first negotiations were made for new assembling plants in Malaysia and Indonesia for the models BMW 520 and BMW 525. It was planned to start the production in the second half of 1976. But finally the production only started Indonesia for the BMW 520. The reason for the local production of CKD (Completely Knocked Down) cars was the prohibition of the import of CBU (Completely Built Unit) cars. BMW assembled 480 units until 1977 of the 4-cylinder model of BMW 520. P. T. Indonesia Service Coy in Jakarta (ISC) was the local service partner for the local manufacturing.
In the year 1978 the BMW 520/6 detached the 4-cylinder model. The price for a BMW 5 Series car was about 13,000,000 Rupiah. Including all additional costs the price was 17,000,000 Rupiah. It was approximately the price for Volvo 264 GL but much cheaper than a Mercedes 280. For the production also local components were used: Radial tyres, battery and also the paintwork. There was no visible difference between a BMW 5 Series made in Germany and a BMW 5 Series, which was assembled in Indonesia. Until 1981 780 units of the BMW E12 left the production halls in Jakarta.

Indonesia, ©

Also the successor, the BMW E28 (520i) was assembled by ISC. But there was a significant difference to the MW E12. The Indonesian BMW E28 got the big Bumpers of the US-model. The later models (BMW 520iS) got the standard bumpers. The model range was expanded with the 3 Series: BMW E30. Also the third generation of both models BMW E36 and BMW E34 were made in Indonesia. This was the time, BMW discontinued the cooperation with ISC and commissioned P. T. Gaya Motor (GM) in 1993. While the Asia crisis in May 1998 the abandoned buildings of ISC were destroyed by the Indonesian Riots. Later the ruins were removed completely.

Gaya Motor, 2011-02, ©

Gaya Motor was founded in 1969 and worked for plenty automotive companies, which produced for the Indonesian Market. We're talking about: Toyota (1970-1975), Alfa Romeo (1972-1979), Peugeot (1973-), Renault (1973-1994), Daihatsu (1973-), Seddon (1973-1977), Toyota Kijang (1981-1982), Nissan Diesel (1985-), Fiat (1988-1993), Isuzu (1990-), BMW (1993-), Ford (1993-1998), Mercedes Benz (1994-) and Hyundai Truck (2007).
Since 1993 the BMW E46 and BMW E39 later the BMW E60 were assembled. Today (2011) GM only makes the fittings of BMW 3 Series (E90). These are delivered as SKD (Semi Knocked Down) from Munich. The chassis are already painted and mounted. GM compound the engines locally and put the fittings completely together. You can only recognize an Indonesian BMW by the VIN beginning with MHH. All other models are imported as CBU, because the import ban was cancelled. But to the CBU like the BMW F10 are combined with high import taxes. Just have a look at the BMW Model Range - Price List to compare the prices.
Many thanks to BMW Indonesia and all, who supported my local research. Here are a few "behind the scenes" shots.