Hot Rolled Coil Production Consumption in Indonesia


Industrial and Marketing Prospects of HRC (Hot Roll Coil) In Indonesia

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Industrial and Marketing Prospects of HRC (Hot Roll Coil) In Indonesia, The development of HRC & Plate production in Indonesia over the past five years (2014-2018 *) grew by an average of 7.1% per year.

HRC & Plate steel production in 2014 was recorded at 3.59 million tons, then declined sharply in the following year (2015) by 11.7% to 3.17 million tons, and increased again in 2016 to 3.40 million tons, an increase quite sharply in 2018 by 25% to 4.59 million tons. This increase is very closely related to the infrastructure work in 2018, such as the Jakarta-Cikampek elevated toll road project.

The steel industry is a strategic industry that is used as an important raw material for the industries as a whole, for infrastructure (building construction, roads, bridges, electricity and telecommunications networks), production of capital goods (factory machinery and supporting materials and spare parts), transportation equipment (ships, trains and rails), automotive, to weapons.

At present, the national steel industry is capable of producing upstream steel; steel slab with a capacity of 5.2 million tons and billet / bloom steel with a capacity of 4.8 million tons. Meanwhile, the national steel intermediate industry products are HRC & plate, CRC / sheet, welded pipe, seamless pipe, galvanized sheet, tin plate / tin free steel, bar, large and medium section, wire rod.

Although Indonesia has been able to produce intermediate and downstream steel, but the existing capacity has not been able to meet domestic needs and its imports are still quite large, almost 50% of national steel consumption. National steel consumption as a whole continues to increase every year, in 2018 steel consumption is estimated to be around 14.5 million tons.

As one of the steel products, HRC consumption has increased, along with the increase in national economic growth. Government policies that boost infrastructure projects, such as airports, seaports, roads and bridges, of course the project requires HRC & plate steel products as a whole.

Given the importance of HRC & plate towards infrastructure development, automotive industry, shipbuilding industry and others, Bizteka-CCI is interested in writing a special report on the industry and marketing of HRC & plate steel industry in the country.