Posted on 12 Mar 2015
Krakatau Posco, a joint venture between Indonesia’s Krakatau Steel and South Korea’s Posco, posted a loss of $200 million for 2014 as a result of a production disruption due to damage in its factory.
“For almost three months, the company has not been able to manufacture steel due to a leak incident at one main facility,†Krakatau Posco secretary Christiawaty Ferania Keseger said on Tuesday. “This added to the unprofitable condition in the steel industry.â€
Steel manufacturers in 2014 struggled with weak prices and suppressed demand from China, while a weakening rupiah, high energy price and labor wages pushed costs up.
