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GGRP signs agreement with Primetals Technologies for low carbon steel production

Indonesia's largest private steel producer PT Gunung Raja Paksi Tbk (GGRP) has signed an agreement with Primetals Technologies Ltd. in Jakarta.

GGRP signs agreement with Primetals Technologies for low carbon steel production

This collaboration makes GGRP the first steel producer outside China and the first plant in Asia to meet European hot rolled coil (HRC) demand with low carbon steel.

GGRP will use Primetals Technologies' Arvedi Endless Casting and Rolling (ESP) technology for this project. Arvedi ESP seamlessly integrates the casting and rolling processes, improving production efficiency while significantly reducing carbon emissions and energy consumption. It will also make it possible to produce ultra-thin steel below 1 mm, which could replace cold-rolled steel in Indonesia.

2.5 million tons capacity by 2027

This agreement supports GGRP's plan to increase its low carbon steel production capacity to 2.5 million tons by 2027 and export more than 50% of this production to the European Union.

“Our partnership with Primetals Technologies secures the future of Indonesia's steel industry by enhancing its global competitiveness,” said Kimin Tanoto, Chairman of the Board of Directors of GGRP, adding that the collaboration reinforces GGRP's leading position in low carbon steel production in Southeast Asia. We are also supporting the Indonesian Government's efforts to achieve its goal of zero carbon emissions by 2060.”

“The Arvedi ESP line at Gunung Raja Paksi will be the 13th plant in the world to implement the endless casting and rolling concept, making GGRP the first producer in Asia outside of China to adopt this technology,” said Andreas Viehboeck, Executive Vice President of Primetals Technologies.

GGRP will also utilize plant automation, artificial intelligence (AI) and advanced digital solutions to drive innovation in the Indonesian steel industry.

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