Cilegon to Host Major PET Plastic Factory Development

Strategic Investment in Petrochemical Sector

Lintas Citra Pratama (LCP), a Cilegon-based petrochemical investment company, is proceeding with a significant investment in the Indonesian petrochemical sector through the construction of a new Polyethylene Terephthalate (PET) plastic factory. The project, valued at $300 million (approximately Rp 5.01 trillion), represents a major commitment to enhancing Indonesia's downstream petrochemical capabilities.

Key Project Details

The new facility is being developed on land owned by PT Merak Chemical Indonesia (MCCI), with plans to achieve an annual production capacity of 720,000 tons. This substantial capacity positions the factory as a major player in Indonesia's plastic manufacturing industry. The project's implementation is expected to contribute significantly to reducing the country's reliance on imported PET products, while simultaneously creating substantial economic value through industrial expansion.

Strategic Significance

The development of this PET factory is part of a broader strategy to strengthen Indonesia's petrochemical industry through downstream processing. According to Anang Adji Sunoto, CEO of MCCI, this initiative represents a crucial step in enhancing the company's contribution to the national economy while promoting integrated downstream development. The project aligns with national efforts to add value to Indonesia's industrial output and improve the country's position in regional industrial supply chains.

Economic Impact

The investment is particularly significant given the current industry context, where Indonesia remains heavily dependent on imported plastic materials. By developing domestic production capacity, LCP is addressing this dependency while creating new economic opportunities. The project's scale and strategic importance make it a key development in Indonesia's industrial landscape, with potential positive implications for related industries and employment.