KNSS, a Joint Venture Manufacturing and Selling Automotive Flat Steel Products in Indonesia, Starts Commercial Operation
Jul. 25, 2017
Nippon Steel & Sumitomo Metal Corporation
KNSS, a Joint Venture Manufacturing and Selling Automotive Flat Steel Products in Indonesia, Starts Commercial Operation
Nippon Steel & Sumitomo Metal Corporation (NSSMC) (Representative Director and President: Kosei Shindo) and PT Krakatau Steel (Persero) Tbk (PTKS) (President Director: Mas Wigrantoro Roes Setiyadi) established a joint venture PT KRAKATAU NIPPON STEEL SUMIKIN (KNSS) in the Republic of Indonesia for the manufacture and sale of automotive flat steel products. After constructing a plant KNSS has started commercial production on July 24, 2017.
Combined with the high growth potential of the Indonesian automotive market, automakers’ needs for anti-corrosion steel and high-strength steel are also expected to grow. KNSS has therefore built a Galvanizing, Annealing and Processing Line (GAPL), which is an integrated manufacturing line consisting of a Continuous Annealing Line and a Continuous Galvanizing Line. This is the same as the state-of-the-art equipment now in operation at NSSMC’s steelworks, and is capable of producing high-grade, high-quality cold-rolled, hot-dip galvanized, and galvannealed steel sheets, including steel sheets for automotive outer panels and high-strength steel sheets up to a 1.2GPa class. Operating this new line enables KNSS to respond to the high-standard needs of automakers in Indonesia.
Through local production of high-grade, high-quality steel sheets at KNSS, NSSMC and PTKS intend to contribute to the further development of the Indonesian automotive industry.

Outline of KNSS:
- Company name: | PT KRAKATAU NIPPON STEEL SUMIKIN |
- Establishment: | December 2012 |
- President: | Naomasa Arita |
- Location: | Cilegon, Banten Province, the Republic of Indonesia |
- Capital: | US$142 million |
- Main business: | Manufacture and sale of cold-rolled steel and hot-dip galvanized steel products for automotive use |
- Shareholding ratio: | NSSMC: 80%, PTKS: 20% |
- Productive capacity: | 480,000 metric tons/year |
- Investment amount: | Approximately US$300 million |
- Number of employees: | Approximately 280 persons |
Outline of PTKS
- Establishment: | 1971 |
- President Director: | Mas Wigrantoro Roes Setiyadi |
- Location: | (Head office) Cilegon (approximately 100 kilometers from Jakarta to the west) |
- Total assets: | US$3.9 billion (CY2016) * 80% equity stake owned by the Indonesian government |
- Main business: | Manufacture and sale of flat steel products, sections, bars & wire rods, and steel pipes |
- Steel product sales: | Approximately 2.2 million metric tons per year (CY2016) |
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