China’s steel company to relocate production plant to Indonesia
The Jakarta Post, Jakarta | Tue, 09/28/2010 12:47 PM
China’s state-owned steel company Guo Feng Iron Steel plans
to relocate in the near future its production plant in Tang Shan, China, to
Indonesia with a total investment of US$1 billion, a government official said
on Monday evening.
Industry Ministry Director General for Metal, Machinery,
Textile and Miscellaneous Industries Ansari Bukhari said that the government of
China had requested the company to move its plant in Tang Shan because it was
located inside the city area and produced intolerable amount of pollutions.
“The company has visited several countries, including
Indonesia, to look for a suitable location for the relocation,” he told
reporters after meeting the representatives from the company at the ministry.
He said that the company came to the industry ministry to directly
discuss with Minister M.S. Hidayat about Indonesia’s foreign investments,
particularly in the steel industry.
“Basically, the minister fully supports the relocation plan.
The minister will back up the company in obtaining business permits, looking
for lands and ensuring energy supply for its production activities,” he said.
The relocated plant will have a capacity of producing 3
million tons of steel per year using the blast furnace technology. The plant is
estimated to consume over 2 million tons of coal per year. (rdf)
