Indonesian wire producers lose 40pct utilized capacity to China
Sunday, 11 Oct 2009
The Jakarta Post reported that Indonesian domestic wire producers have seen their utilized capacity drop from 80% to only 40% because of a jump in imports of much cheaper Chinese wire in the past 4 years.
Mr Ario N. Setiantoro Indonesia Iron & Steel Industry Association's head of nail and wire cluster said that with the influx of cheap Chinese wire imports, domestic wire producers now were only in control of half the domestic market, which amounted to 5,000 tonnes a month.
He added that "At the beginning of 2005, imports of Chinese wire were still low, only 100 to 200 tonnes. But the imports have now jumped to more than 1,000 tonnes a month. Chinese wire has flooded the domestic market."
