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Joint Venture


PT Krakatau Steel articulated steel manufacturers from Japan, Osaka Steel Co., Ltd, formed a joint venture called PT Krakatau Osaka Steel (KOS). This cooperation documents signed by the President Director of Krakatau Steel Irvan K. Hakim and President of Osaka Steel Co. Ltd. Junji Uchida, in Jakarta, Tuesday (2/9).

KOS was established in December 2012 to produce and market profile steel, flat bar, and plate steel bones in Indonesia, with a strong partnership. Since then, Osaka Steel Co. Ltd. and PT Krakatau Steel Tbk discussing the details of the agreement (terms and conditions) that benefit both parties.

Irvan said cooperation joint venture is based on the belief that the steel market in Indonesia is projected to continue to grow in the medium and long term. The purpose of this joint venture is to meet the demand for steel products as a result of the development of construction projects, said Hakim.

KOS is located in the PT Krakatau Industrial Estate Cilegon, occupies an area of ​​21.6 hectares (ha), with a paid up capital of USD 70 million. Osaka Steel Co. Ltd. owns 80 percent of PT KOS, the rest is owned Krakatau Steel.

The joint venture worth USD 200 million is scheduled to start operation in 2016 sales target of 500 thousand tons per year, and will absorb a workforce of about 170 people.

For Osaka Steel Co., the formation of a joint venture with PTKS first overseas business expansion and one of the core businesses of medium-term consolidation plan development, by strengthening its presence in the domestic market.
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