News
Chinese investors to build steel manufacturing in KIKT, Sei Mangke
WINDONESIA December 7, 2024
Investors who are partnered with Capital Group took a photo together with the PT PPK Director Sutanto and PT KINRA Director V.T. Moses Situmorang at the Kuala Tanjung Multipurpose Terminal office in Batubara Regency, North Sumatra Province on Nov. 14, 202
Chinese investors have shown great interest in the Kuala Tanjung Industrial Estate (KIKT) and the Sei Mangke Special Economic Zone (SEZ) in Batubara Regency, North Sumatra Province. They plan to build a steel metallurgy manufacturing site with an investment value of Rp120 trillion (US$8 billion).
The head of the investment company, Bi Jing An, together with his team from Hebei Bishi Industry Group Co. Ltd., a Chinese company with five business groups in the steel, mining, and renewable energy sectors, visited the area.
Hebei Bishi Group has total assets of more than US$11 billion USD, including US$4.1 billion in resource assets and a 62-kilometer special railways. Bi Jing An emphasized his commitment to expanding the market overseas, with Indonesia, especially North Sumatra, considered a strategic location for investment.
In exploring cooperation in the steel industry in North Sumatra, investors partnered with Capital Group held a meeting with Sutanto, a director of PT Prima Pengembangan Kawasan (PPK) which manages the KIKT, and V.T. Moses Situmorang, a director of PT Kawasan Industri Nusantara (KINRA) that manages the Sei Mangkei SEZ, at the Kuala Tanjung Multipurpose Terminal on Nov. 14, 2024.
Sutanto revealed that Bi Jing An was very interested in cooperation opportunities, including the plan to procure 350 hectares (ha) of land for steel manufacturing in the KIKT. The strategic location, with a depth of 17 meter Low Water Spring (m LWS), is close to a large-capacity port owned by Pelindo Group. The port is capable of accommodating cargo ships weighing up to 100,000 tons, which is very much needed to support steel manufacturing operations.
PPK and KINRA are committed to promoting the potential of the two industrial areas in Batubara Regency synergistically. Both will adjust to the needs of investors in order to meet the requirements to develop local steel manufacturing, which is projected to employ up to 15,000 workers.
V.T. Moses Situmorang added that the next step for the potential investments is technical discussions to realize the partnership in concrete terms. The potential projects are expected to support regional and national economic growth.
Source: www.hariansib.comRelated Articles
