PT. Gunung Raja Paksi Tbk

向新西兰出口价值 150 万美元的钢铁产品,釜山部长:加强印尼作为全球钢铁出口国的地位

Cikarang Barat, January 15, 2025 – Minister of Trade Budi Santoso, on Wednesday (15/1), officiated the export of low-emission welded beam steel products valued at USD 1.5 million, equivalent to IDR 24.3 billion, in Bekasi Regency, West Java. The steel products, manufactured by PT Gunung Raja Paksi Tbk. (GRP), are being exported to New Zealand. This export is part of a total of 1,210 MT of steel that will be shipped in stages until March 2025.

Minister Budi stated that the quality of domestic iron and steel products is increasingly recognized, positioning Indonesia as the 7th largest global supplier, with export values reaching USD 28.41 billion. This sector also ranked second among Indonesia's top non-oil and gas export commodities from January to September 2024. Globally, the demand for iron and steel has shown consistent growth, averaging 9.13% annually over the last five years (2018–2023), with the total global demand amounting to USD 865 billion.

"With a growth trend of 38.79% over the last five years (2018–2023), Indonesia has a significant opportunity to become a leading player in the global steel industry. We hope GRP's contribution will inspire other exporters," said Minister Budi in his remarks.

The Minister also highlighted that Indonesian iron and steel exporters to New Zealand benefit from zero tariff rates under the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA).

"With a zero tariff rate, New Zealand is expected to become one of the main export destinations for Indonesian iron and steel," he added.

During his speech, Minister Budi also introduced three priority programs from the Ministry of Trade aimed at boosting exports: Domestic Market Safeguarding, Export Market Expansion, and Empowering SMEs to Export through the BISA Program (Dare to Innovate, Ready to Adapt).

"The Ministry of Trade has trade representatives abroad, including Trade Attachés and Indonesia Trade Promotion Centers (ITPC), in 33 countries. These are ready to assist businesses, especially SMEs, in penetrating export markets," the Minister emphasized.

Meanwhile, the President Director of PT Gunung Raja Paksi Tbk., Fedaus, expressed his pride in GRP's role in supporting global development through the export of high-quality, low-emission steel. He also appreciated the Ministry of Trade's support for GRP's strategic achievements in strengthening domestic products on the international stage.

"The exported products meet international standards and contribute to sustainable infrastructure development. This is GRP's tangible step toward supporting Indonesia's vision as a key player in the environmentally friendly global steel market," he stated.

The export ceremony reflects the high level of trust in Indonesian steel products globally. By 2024, GRP had exported steel products to 35 countries, with export revenues reaching approximately USD 20 million that year. Over the last three years (2021–2024), GRP's cumulative exports totaled USD 87 million, with major markets including Canada, Australia, and New Zealand.

Acting Bekasi Regent, Dedy Supriyadi, commended GRP's strategic efforts in exporting high-quality steel products. He stated that this export launch is evidence of Bekasi Regency as an industrial hub capable of producing globally competitive products with significant potential to be a key international player.

"This event is expected to inspire other businesses to innovate for the global market," he said.

Dedy also urged all stakeholders in the trade sector to continue strengthening synergies, improving product quality, and expanding international trade networks.

For the New Zealand market specifically, Indonesian iron and steel exports from January to October 2024 amounted to USD 10.91 million. In 2023, Indonesia's steel exports to New Zealand reached USD 15.06 million, accounting for 2.65% of Indonesia's total non-oil and gas exports to New Zealand, which stood at USD 573.27 million.

GRP Steel Innovations

The welded beam products exported by GRP offer several advantages, particularly efficiency in construction projects. These benefits include ready-to-install designs that reduce on-site work time, improved workplace safety by minimizing risks at project locations, and cost savings through factory fabrication, ensuring consistent quality.

GRP's welded beam products are manufactured using Electric Arc Furnace (EAF) technology, utilizing more than 70% scrap materials as raw materials. This process significantly reduces carbon emissions compared to conventional methods.

The advantages of GRP's welded beam products extend beyond quality and technological innovation; they also embody a commitment to sustainability integrated into every production stage. This is evidenced by the Environmental Product Declaration (EPD) certification, which ensures transparency regarding carbon emissions generated during production. With an annual production capacity of 60,000 MT, GRP's production process has also achieved ISO 9001 certification.