JAKARTA (Yosefardi) – Trade Ministry mulls to rule on boron steel import as an effort to protect local steel producers, Investor Daily reported this morning.
Boron steel is used for infrastructure projects and currently the government imposes no import tax for boron steel.
Steel producers overseas then take a benefit of tax free for boron steel import regulated by Indonesia government by adding the content of Boron into hot and cold rolled coil (HRC/CRC).
In fact, they boost their steel export (HRC/CRC) to Indonesia. The import tax of HRC/CRC is now set for 5%.
Boron steel offers lower price compared to steel products produced by local producers, making local steel products not competitive in term of price. While cost of steel industry is growing.
PT Gunung Garuda, unit of Gunung Stell Group, the largest private local steel producer had complained about the increasing import of profile steel products.