CAP Polyethylene Plant has been inaugurated by President RI

Chandra Asri Petrochemical Tbk (CAP) is the largest Petrochemical Company in Indonesia and also a Polyethylene factory. To increase the production of Polyethylene HDPE, LLDPE and mLLDPE, on August 31, 2017 CAP has agreed to enter into a contract with Toyo Engineering Corporation (TOYO) and PT Inti Karya Persada Tehnik (IKPT) to build a Polyethylene plant with a total capacity of 400,000 tons/year. The location of the plant is in Cilegon, Banten, at the western end of Java. Now the plant has been completed 2 (two) months ahead than the set schedule, and was inaugurated by the President of the Republic of Indonesia, Mr. Joko Widodo on Friday, December 6, 2019.

Chandra Asri’s President Director, Mr. Erwin Ciputra at the inauguration said that with this new Polyethylene factory, 400,000 TPY of polyethylene will be produced annually, with this additional production the total production of the whole Chandra Asri Polyethylene plant will be 736,000 TPY. The reason for the addition of production capacity is because Indonesia’s rapid growth has caused an increase in the need for raw materials such as Polyethylene (PE). With the operation of this new polyethylene plant, the country can also save 8 trillion in foreign exchange annually.

In line with this, Mr. Jokowi also said that the operation of the plant is part of the petrochemical industry which can reduce import activities, so he ensures that the government will provide easy space for development of this industry.

In this inauguration, Mr. Jokowi was accompanied by Minister of Industry Mr. Agus Gumiwang Kartasamita, Minister of State-Owned Enterprises (SOE) Mr. Erick Thohir, Presidential Chief of Staff, Mr.  Moeldoko, and from TOYO-IKPT were the Unit Director of Plant Business Unit Toyo Engineering Mr. Eiji Hosoi, CEO of IKPT Mr.  Yasuhiro Hime, Project Manager of Toyo Korea Mr. Sang Ho Lee, General Manager of Toyo Representative Indonesia Mr. Fumitaka Shintsu, Project Director of IKPT Mr. Shigetoshi Nakata and NPE Project Manager of IKPT Mr. Herfandi Satria Beta.

The inauguration of this project is not only the pride of CAP but the pride of TOYO and IKPT as contractors who built this project without work accidents.

Christina Sondang