JAKARTA (Yosefardi) – State steel producer PT Krakatau Steel Tbk (KRAS) had Wednesday (August 10) signed memorandum of understanding (MoU) to supply 50,000 tons of raw canai steel per year to PT Sunrise Steel.
Henry Setiawan, president director of Sunrise Steel, said the MoU helps Sunrise Steel to stop import raw canai steel, material for producing Zinium or light steel products.
KRAS has supplied 25,000 tons of raw canai steel to Sunrise Steel. The additional supply will boost the local content ruled for minimum 25%.
Dadang Danusiri, marketing director of KRAS, also said the company is now constructing new plant to produce steel for local automotive industry in Cilegon with capacity of 500,000 tons per year. The said plant is targeted to commence production next year.