PT Krakatau Steel and its group, together with PT Dexin Steel Indonesia (a subsidiary of China's Delong Steel Group, the world's 11th and China's 7th largest steel producer), are cooperating to build a new steel plant in the Krakatau Industrial Area in Cilegon, Banten Province, covering an area of over 500 hectares. The goal is to build an integrated steel plant with an annual capacity of 3 million tons, producing high-quality steel and exploring green steel development. In May 2025, a Krakatau Steel delegation visited China and signed a raw material procurement memorandum of understanding with Delong Steel, witnessed by the Chairman of the Delong Group. On June 3, a delegation from Delong and Dexin visited the Cilegon plant site to conduct an on-site assessment of the proposed plant location and existing supporting facilities (such as ports and steel plants). On June 5, the two sides held further discussions in Jakarta, clarifying that the focus of cooperation is on steel plant construction. This cooperation will help Krakatau Steel advance its vision of turning Cilegon into a green steel hub in Southeast Asia, by providing land through PT Krakatau Sarana Infrastruktur, promoting technology transfer and eco-friendly steel R&D. It is also expected to create thousands of local jobs, strengthen the industrial supply chain, support national strategic projects, generate economic multiplier effects, and drive regional economic development. Delong recognizes Cilegon's strategic position as an industrial base with mature infrastructure and is conducting a comprehensive assessment of investment feasibility.
PT Krakatau Steel and its group, together with PT Dexin Steel Indonesia (a subsidiary of China's Delong Steel Group, the world's 11th and China's 7th largest steel producer), are cooperating to build a new steel plant in the Krakatau Industrial Area in Cilegon, Banten Province, covering an area of over 500 hectares. The goal is to build an integrated steel plant with an annual capacity of 3 million tons, producing high-quality steel and exploring green steel development. In May 2025, a Krakatau Steel delegation visited China and signed a raw material procurement memorandum of understanding with Delong Steel, witnessed by the Chairman of the Delong Group. On June 3, a delegation from Delong and Dexin visited the Cilegon plant site to conduct an on-site assessment of the proposed plant location and existing supporting facilities (such as ports and steel plants). On June 5, the two sides held further discussions in Jakarta, clarifying that the focus of cooperation is on steel plant construction. This cooperation will help Krakatau Steel advance its vision of turning Cilegon into a green steel hub in Southeast Asia, by providing land through PT Krakatau Sarana Infrastruktur, promoting technology transfer and eco-friendly steel R&D. It is also expected to create thousands of local jobs, strengthen the industrial supply chain, support national strategic projects, generate economic multiplier effects, and drive regional economic development. Delong recognizes Cilegon's strategic position as an industrial base with mature infrastructure and is conducting a comprehensive assessment of investment feasibility.