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The idea of establishing a factory in Indonesia, which produces automotive sheet

The idea of establishing a factory in Indonesia, which produces automotive sheet

On the construction of the plant, which will produce cold-rolled automotive sheet, thinking of Krakatau Steel. This is one of the leading metallurgical enterprises in Indonesia. Cold-rolled automotive sheet, referred to intended for car industry. Managing Director at Krakatau Posco Kenneth Ri on the possible implementation of the project. Krakatau Posco is a joint venture of the Korean Corporation Posco and steelmakers Indonesia. In the framework of this partnership and plans to create a production.

The final decision regarding the construction avtostopnogo plant will be made in January 2018. However, that’s not accurate. Today, the idea is to build two machines. They are responsible for cold rolling. In total, they produce up to 1.5 million tons per year. The project implementation is divided into two stages. The first will cost 250 million dollars, the second an additional 200 million dollars. Negotiations are conducted not only between these two companies. They involve also Corporation Nippon Steel Sumitomo (Japan). It manufactures galvanized steel.

To implement the plans can all three party talks or Krakatau Steel. It enables to build the company without participation of foreign companies. Now the Indonesian automotive industry consumes approximately 8% of steel production. However, the country plans to build more cars. The Ministry of industry of Indonesia expects production growth to 5−5. 5% for the year. In 2025, it should reach the target of 2.3 million It is because the idea of creating a new plant. It can be very lucrative.

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