Indonesia has risen to become the fourth-largest exporter of iron and steel globally, a significant leap from its previous ranking of 17th. This impressive growth is attributed to the rapid development of the country's iron and steel industry over the past five years, as highlighted by Minister of Trade Zulkifli Hasan (Zulhas) during the Indonesian Society of Steel Construction (ISSC) seminar at Hotel Bidakara, Jakarta, on 10 July 2024. According to the Ministry of Trade, Indonesia's iron and steel exports reached USD 26.7 billion in 2023, marking a remarkable 261.49% increase from 2019. The trade balance for iron and steel also recorded a surplus of USD 15.32 billion in 2023. Over the last five years, the national steel industry's average annual consumption was 15.62 million tons, with an average production of 12.46 million tons per year.
Export trends have also shown substantial growth, with iron and steel exports increasing from USD 7.9 billion in 2019 to USD 28.5 billion in 2022. To support the domestic iron and steel industry, the Ministry of Trade has implemented strict monitoring of imports, particularly targeting illegal steel imports that disrupt the local market. Minister Zulkifli Hasan emphasized their commitment to this cause by citing recent actions taken against non-compliant imports, including the seizure of substandard steel in Tangerang. Additionally, the Ministry is pursuing numerous trade agreements with importing countries to expand the market for Indonesian iron and steel. Minister Zulhas emphasized the potential in new markets, such as India and South Asia. He noted India's rapid industrial growth, particularly in naval defense construction, presents a significant opportunity for Indonesian steel, given that local production in India may not meet its growing demand. In conclusion, Indonesia's strategic initiatives and robust industrial growth have propelled it to the forefront of the global iron and steel market, positioning the nation as a key player in the industry.
