UNTR Targets 4,300-4,500 Heavy Equipment Sales in 2026 Amidst Challenges

Overview of the Heavy Equipment Industry

PT United Tractors Tbk (UNTR) has set a target to sell 4,300-4,500 units of heavy equipment in 2026. This goal is ambitious, considering the challenges that the industry is facing. The government's plan to cut the Rencana Kerja dan Anggaran Biaya (RKAB) for mining in 2026 is expected to have a significant impact on the sales of heavy equipment.

Impact of RKAB Cuts on Heavy Equipment Sales

The reduction in RKAB is expected to lead to a decrease in the production of mining commodities, particularly coal. This, in turn, will affect the demand for heavy equipment, especially big machines used in mining. UNTR's Corporate Secretary, Ari Setiyawan, has projected that the sales of big machines will decrease to 900-950 units in 2026.

Strategies to Mitigate the Impact

To mitigate the impact of the RKAB cuts, UNTR may need to explore alternative markets for its heavy equipment. The company could focus on selling equipment to other industries, such as construction or agriculture. Additionally, UNTR could consider expanding its product offerings to include more specialized equipment that is in high demand.

Conclusion

In conclusion, UNTR is facing significant challenges in the heavy equipment industry due to the government's plan to cut the RKAB for mining in 2026. However, with the right strategies, the company can mitigate the impact and achieve its sales targets. It is essential for UNTR to diversify its market and product offerings to ensure its long-term success.