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Indonesia's steel manufacturing sector is expected to remain under pressure in 2026. JFS A3021 JEC340W Automotive steel strip, The Indonesian Iron and Steel Industry Association (IISIA) assesses that domestic steel consumption has not yet fully recovered, while imported steel continues to dominate the domestic market.
The Executive Director of the IISIA stated that by 2026, imported steel is projected to meet approximately 55% of Indonesia's domestic demand. JFS A3021 JEC340W Automotive steel strip, This has resulted in a decline of roughly half in the capacity utilization rates of Indonesian steel enterprises.
He pointed out that the imported steel dominating the market originates primarily from China, thereby severely constricting the scope for recovery within Indonesia's steel manufacturing sector. JFS A3021 JEC340W Automotive steel strip, The government must implement robust and sustainable policies; otherwise, the industry faces the risk of stagnant—or even declining—profit margins and shrinking production output.
