PT Krakatau Steel, Indonesia’s state-owned steelmaker, targets to increase sales by 40% this year, President Director Mas Wigrantoro Roes Setiyadi said in a press release late Wednesday, March 28, 2018.
The company seeks long-term supply agreement with potential buyers and other state-owned companies to increase sales volume this year, Setiyadi said.
“We target sales increase of up to 40%. We will continue synergy with state-owned enterprise and boost performance of our subsidiaries. We’re optimistic that our performance will improve,” he said, without elaborating on the volume.
The company also aims to complete strategic projects on time, conducting maintenance of its production facilities, maintain financial liquidity for ensuring adequate working capital and boosting efficiency of operational costs.
Harry Sampurno, a deputy at the State Enterprises Ministry, said the government has assigned Krakatau Steel to improve the economic value of its products through a program called “Cilegon 10 Million Tons Steel Cluster by 2025.”
“If the company can achieve the goal, it will improve its efficiency, which will lead to rising revenue,” he said.
PT Krakatau Steel aslo seeks supports from the government to issue policy to protect domestic steel products from influx of imported steel products and unfair trade practices.
To protect the country’s domestic steel industry, Indonesia has applied import duties, anti-dumping countervailing duties, safeguard di free-trade zone in Batam island, and standardization of steel products.
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