Companies sign agreement for sustainable steel production using Arvedi ESP technology

Production will begin in 2027 and more than 50% of it is destined for the European Union.
producción de acero sustentable

Gunung Raja Paksi (GRP), Indonesia’s largest private steel producer, has signed an agreement with Primetals Technologies that makes it the leading Asian supplier of carbon-free hot-rolled coils (HRC) to Europe. The company will adopt the innovative Arvedi ESP endless casting and rolling technology, consolidating its position in the transition to sustainable steelmaking.

Sustainable steel with cutting-edge technology

The agreement allows GRP to integrate Arvedi’s ESP technology, a system that directly links the casting and rolling processes, reducing costs and eliminating the use of fossil fuels . With this implementation, the company will be able to produce ultra-thin hot-rolled coils, minimizing the need for additional processes such as cold rolling.

This development reinforces GRP’s ability to compete in the global market with low-carbon steel . Production will start in 2027 and the company is expected to double its current capacity of 1.3 million tonnes to 2.5 million tonnes per year, with more than 50% of production destined for the European Union.

More details about Arvedi’s ESP technology

Arvedi’s ESP technology not only optimises steel production, but also enables close to zero direct CO2 emissions . This innovative process is in line with European environmental regulations and strengthens GRP’s competitiveness against the EU Carbon Border Adjustment Mechanism (CBAM).

Kelvin Fu, GRP’s transformation director, highlighted that the adoption of this technology positions the company at a new level of production, allowing it to develop high-quality steel products for international markets. In addition, this change promotes the training of local talent and encourages innovation in the industry.

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Arvedi ESP is a zero- CO2 steel production method. Source: Primetals Technologies

The use of advanced AI- based automation solutions at GRP’s ESP plant will optimize operational efficiency and the quality of the steel produced. These digital tools, aligned with the Internet of Things (IoT), will contribute to more sustainable and efficient production, raising the standards of the Asian steel industry.

Primetals Technologies Executive Vice President Andreas Viehboeck emphasized that the collaboration with GRP represents a step forward in the adoption of green technologies outside of China, ensuring lower energy consumption and higher quality steel without fossil fuel emissions.

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Source and photo: Primetals Technologies