The world's second biggest steelmaker Japan-based Nippon Steel & Sumitomo Metal Corp. (NSSMC) has announced that PT Krakatau Nippon Steel Sumikin (KNSS), its joint venture (JV) with Indonesia-based steelmaker PT Krakatau Steel (Persero) Tbk (PT KS), has started commercial production at its plant located in Cilegon, Banten Province, Indonesia. The investment for the plant amounted to approximately $300 million.
According to NSSMC, KNSS has built a galvanizing, annealing and processing line (GAPL), which is an integrated manufacturing line consisting of a continuous annealing line and a continuous galvanizing line to meet Indonesian automakers’ needs for anti-corrosion steel and high-strength steel. The line, which has an annual production capacity of 480,000 mt, is capable of producing high-grade, high-quality cold rolled, hot dip galvanized, and galvannealed steel sheets, including steel sheets for automotive outer panels and high-strength steel sheets.
Through local production of high-grade, high-quality steel sheets at KNSS, NSSMC and PTKS intend to contribute to the further development of the Indonesian automotive industry.