50 Percent Tariff, Inalum Wants To Focus On Domestic

JAKARTA - PT Indonesia Asahan Aluminum (Inalum) will focus on the absorption of aluminum products for the domestic industry. This follows the imposition of a 50 percent tariff by the US President, Donal Trump on steel and aluminum import products.

For this reason, the President Director of PT Indonesia Asahan Aluminum (Inalum), Melati Sarnita, asked for support from the government regarding import regulations to boost the absorption of domestic products.

"We really hope that we can get a replacement market in the domestic area, because we are originally semi-finished products, our products are then purchased by the national industry, then they make finished products," he said at a Hearing Meeting (RDP) with Commission XII DPR RI, quoted Thursday, July 17.

According to him, with Trump's rules, downstream aluminum producers are threatened with losing a market share of 30,000 tons per year. With import regulations from the government, Melati believes the potential loss of market share can be overcome.

"By breaking these import regulations, it may be possible to help these downstream producers get a substitute market in the country, at least commensurate with the missing figures when implementing this Trump tariff," Melati explained.

He further explained that currently Inalum's performance has exceeded the Company's Work Plan and Budget (RKAP) with the total aluminum production which has increased by 26 percent, while sales have increased by 28 percent in 2024.

Melati is targeting the company to increase the market share to 48 percent from the previous year which was recorded at 46 percent.

"Currently in our domestic market share is still at 46 percent, our own target this year we must be able to increase it to 48 percent," said Melati.