INDONESIA NEEDS 12 MILLION TONS OF STEEL / YEAR , THE MINISTRY OF INDUSTRY : NEED ADDITIONAL INVESTMENT
INDONESIA – USA ECONOMIC RELATIONS EXCEED USD 90 TRILLION
Number I | September 2016
INDONESIA NEEDS 12 MILLION TONS OF STEEL / YEAR , THE MINISTRY OF INDUSTRY : NEED ADDITIONAL INVESTMENT
Currently , the demand is 12 million tons per year while the supply is only 6 million tons per year . The Ministry has targeted to have more investment in the steel industry with a capacity of 2-4 million tons per year so that in five years Indonesia able to meet about 70 % of its demand .
In the future , the ministry plans to fulfill 70 % of country ’ s demand through local production , while the remaining 30 % of imports .
The deficit trade is caused by a number of imported steel products using dumping prices so that the price of local products becomes less competitive .
Indonesia requires a stock of 12 million tons of steel per year . The Ministry of Industry announces that the country needs investment in the steel industry with a capacity of up to 4 tons per year in order to reach at least 70 % of the requirement .
The portion of net imports to reduce the trade deficit and to increase the value added in the country which in turn will increase the share of industry in national GDP . Source : Detik Finance , September 2016
INDONESIA – USA ECONOMIC RELATIONS EXCEED USD 90 TRILLION
The total value of bilateral economic cooperation between Indonesia and the United States ( US ) surpassed $ 90 trillion per year . This data derives from the study published by AmCham Indonesia and the US Chamber of Commerce , September 15th , 2016 .
The study entitled “ Vital and Growing : Adding up the US-Indonesia Economic Relationship ”, attempts to quantify the total US- Indonesia economic relations , which include FDI , trade , domestic sales , finance and government revenue . These five components capture the enormous importance of the economic engagement between these two countries . The report found that the total value of Indonesia-US bilateral economic relations exceeds $ 90 billion per year . The study projects that , in a best-case scenario , the number could grow to $ 131.7 billion by 2019 — an increase of 46.2 percent over 5 years . The US-Indonesia Investment Initiative is now in its fourth year and is a collaborative effort between AmCham Indonesia and the U . S . Chamber of Commerce .
Coordinating Minister for Economic Affairs , Darmin Nasution , attended the launch of the study at the US-Indonesia Investment Initiative 2016 . " Through this event , I am sure we can exchange ideas to improve the economic environment in Indonesia in a constructive way and mutually beneficial ," Nasution said .
Number 1 / October 2016 | Trade & Investment Bulletin 3