Indonesian steel production stalls on inventory glut amid coronavirus outbreak

Most Indonesian steelmakers are operating at reduced rates and some re-rollers have even suspended their operations due to a build-up of inventory, sources in the country told Fastmarkets.

These steel producers opted to undertake such measures due to the sluggish demand caused by the novel coronavirus (2019-nCoV) outbreak in the country, market participants said.
Indonesia had 579 reported cases of infections on Monday March 23, an increase of 65 people from a day earlier. Southeast Asia’s largest economy has reported 49 deaths from the coronavirus - the highest number in the region.

“The impact will be for the mid- to long-term with more bad days for the Indonesian steel industry forthcoming,”...

Published

Lee Ken Kiat

March 24, 2020

04:58 GMT

Singapore