实现绿色和有竞争力的钢铁行业，GRP 确认转型承诺
JAKARTA – PT Gunung Raja Paksi Tbk (GRP), one of Indonesia’s integrated steel producers, highlighted the intense price competition in the steel industry, industrial sustainability, construction quality, and national manufacturing sovereignty. GRP also shared its perspective on the challenges faced by the national steel industry and reaffirmed the company’s commitment to supporting a green and competitive industrial future.
GRP also touched on the increasing volume of steel imports entering Indonesia. According to data from the Indonesia Iron & Steel Industry Association (IISIA), national steel consumption (Apparent Steel Consumption/ASC) has continued to rise from 15 million tons in 2020 to 17.4 million tons in 2023, and is projected to reach 18.3 million tons in 2024, in line with the boom of infrastructure projects such as toll roads, bridges, and public transportation systems.
However, this growing demand has been accompanied by a significant increase in steel imports, particularly from China. Data from the Central Statistics Agency (BPS) shows that iron and steel imports reached 13.8 million tons in 2023.
“Industry competition is not just about price. We are talking about industrial sustainability, construction quality, and national manufacturing sovereignty. Low-cost steel products that fail to meet standards can negatively impact the future of our nation’s development. That’s why synergy between the government, industry players, and the media is crucial to maintaining a healthy and competitive steel ecosystem,” said Fedaus, President Director of PT Gunung Raja Paksi.
Despite these challenges, GRP remains optimistic about the future of Indonesia’s steel industry. As part of a long-term transformation effort to become a low-carbon steel producer in Asia and support the Indonesian government’s NZE (Net Zero Emissions) program, GRP has launched a series of initiatives starting in November 2024.
This multi-phase initiative aims to transform GRP into a leader in sustainable steel production in Southeast Asia. The project is built upon three main pillars: transitioning to 100% Electric Arc Furnace (EAF) technology, utilizing recycled scrap metal, and developing and using renewable energy sources.
GRP will decommission a blast furnace that was previously constructed but never operated and will adopt the more efficient and low-emission EAF technology. The company is also developing its steel scrap procurement strategy both domestically and internationally to support a circular economy and reduce dependency on primary natural resources.
At the same time, GRP is continuously exploring renewable energy sources to reduce its carbon footprint from upstream to downstream operations. “This initiative is not just about modernizing technology, but a manifestation of our commitment to environmental preservation and ensuring the long-term sustainability of the steel industry,” said Fedaus. “We want to be a steel company that is not only resilient but also responsible,” he added.
Recently, GRP has partnered with Primetals Technologies to build a hot rolled coil (HRC) steel production facility using Arvedi Endless Strip Production (ESP) technology. This technology allows for the production of high-quality steel with near-zero carbon emissions and exceptional energy efficiency.
Production is set to begin in 2027, supporting GRP’s plan to increase its production capacity to 2,500,000 tons of low-carbon steel. This will make GRP the first steel company in Asia, outside of China, to actively prepare for compliance with strict global carbon regulations. GRP also welcomed the government's move to implement Anti-Dumping Duties (BMAD) on imported steel products as a form of strategic protection for the domestic industry.
This policy is crucial for fostering fair competition, preventing harmful dumping practices, and creating space for local producers to grow and innovate. “The government’s BMAD policy shows strong support for the national industry. It will strengthen competitiveness, ensure quality, and open up opportunities for sustainable growth,” Fedaus added.
With a comprehensive strategy — from sustainability transformation and global expansion readiness to active collaboration with stakeholders — GRP affirms its position as a future-oriented national steel company.
“We believe Indonesia’s steel industry has enormous potential to grow, lead, and compete globally. GRP is here not just as a manufacturer but also as a catalyst for change toward a lower-emission, resilient, and sustainable industry,” Fedaus concluded.