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Cement production falls in Indonesia

10 June 2025

Indonesia: Cement production fell by 7.4% in Indonesia during the first quarter of 2025, falling from 14.5Mt in 2024 to 13.4Mt in 2023, according to data from the Indonesian Cement Association (ASI). March 2025 was particularly low compared to the year prior, with sales for the month falling by 21.6% to 3.8Mt. The nation’s capacity utilisation rate was estimated at just 57%.

Regionally, the steepest decline was seen in Kalimantan, where sales for the first quarter of 2025 were 21.8% lower than in the same period of 2024. Sales in Bali and Nusa Tenggara fell by 15.2%, while Sulawesi saw a decline of 13.9%. The decrease in Kalimantan was due in part to the slower development of projects in the new capital city Nusantara, as the government has slowed down spending on the project.

More widely, ASI chairman Lilik Unggul Raharjo attributed the national contraction in cement sales to weaker household spending, as well as slower infrastructure construction. He projected continued pressure on the cement industry throughout the rest of 2025, driven by global economic uncertainty and excess production capacity.

Raharjo also pointed to global policies to reduce carbon emissions as another burden on the industry, citing Australia's Carbon Border Adjustment Mechanism (CBAM), which is set to take effect in 2027. The policy will require a carbon tax to be paid on products with emissions that exceed a set limit, which could disrupt clinker exports from Indonesia to Australia. These are currently in the region of 1Mt/yr.

Published in Global Cement News
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Indocement reports rise in sales volumes in 2024

03 April 2025

Indonesia: Indocement recorded sales of 20.5Mt of cement and clinker in 2024, up by 1150t (6%) year-on-year. Corporate secretary Dani Handajani said the producer held a 30% domestic market share, with a 38% share in Java and a 21% share outside Java, according to the Cement Association of Indonesia (ASI). Handajani said that domestic bulk cement sales increased due to the new capital city project and acceleration of infrastructure projects in Java. Its exports reached 0.32Mt.

Published in Global Cement News
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Indonesian Cement Association calls for stronger protection against overcapacity

05 February 2025

Indonesia: Indonesian Cement Association (ASI) chair Lilik Unggul Raharjo has called for a more ‘robust’ approach to production overcapacity in the cement sector. In a statement by the ASI he lobbied for the government to strengthen its ban on the construction of new plants, according to the Jakarta Post newspaper and Kontan. At present the moratorium applies to obtaining licences via the country’s integrated electronic licensing system (OSS). Lilik also requested a better legal framework to protect the industry.

The government says it is using the block on investment in new cement plants to support the local sector. Restrictions are in place for regions such as Sumatra, Java, Kalimantan and Sulawesi. However, the government is ‘open’ to new plants being built in areas that have no existing units including Papua and Maluku.

ASI data shows that cement sales reached 77Mt in 2024 with a capacity utilisation rate of 65%. Domestic sales fell by just under 1% year-on-year to 65Mt in 2024. Exports grew by 10% to 12Mt. The ASI expects domestic sales of cement to increase by up to 2% in 2025.

Published in Global Cement News
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Autonomous haulage in the cement sector

10 November 2021

Volvo Autonomous Solutions and Holcim Switzerland announced this week that they are testing and developing the use of autonomous electric haulers in a limestone quarry. It’s a two-part project, as being able to run electric dump trucks will help Holcim to meet its sustainability goals by switching to renewable energy supplies. Automating the control of the trucks then lets Holcim work towards its digitisation targets as part of its ‘Plants of Tomorrow’ initiative. Holcim Switzerland has also been running a drone programme at the plant (see GCW520) and has been using a few electric concrete mixer trucks since early 2021.

The use of autonomous haulage systems (AHS) in quarries by the cement industry seems to mark the start of something new. As far as Global Cement Weekly can tell, the Volvo Autonomous Solutions - Holcim Switzerland project is the first one in the cement sector that has been announced publicly. Most of the examples of AHS to date have been for heavy mining applications such as iron ore, copper, oil sands and coal. Automation in limestone and aggregate extraction has been slower. One recent example in the aggregate sector was announced in late 2020 when Norway-based technology company Steer said it had signed a contract with Romarheim to supply three autonomous dump trucks for use in a stone quarry. Previously Steer has used its vehicles to clear unexploded ordinance for the Norwegian army.

AHS have been around commercially since the mid-2000s when Komatsu tested and then deployed one at a copper mine run by Codelco in Chile. By September 2021 Komatsu said it had commissioned over 400 trucks with its autonomous system and that these had hauled over 4Bnt of materials. For its part Caterpillar says it started its first automated vehicle research program in 1985 and was even testing a pair of Cat 773 dump trucks in the 1990s. However, it then took a pause before resuming after 2000 and starting its commercial projects in the 2010s. In April 2020 it hit 2Bnt of hauled materials by AHS using its MineStar Command product. Hitachi, Liebherr and Belaz have also been working on their own AHS products in conjunction with third party technology providers and these were developed later in the 2010s. Most of these products are complimentary control systems that have been added to existing models or can be added to new ones. Autonomous vehicle company ASI is the other big name in the field with its Mobius product. Unlike the other systems, this is purely a retrofit product. ASI does not make its own vehicles. Komatsu and Caterpillar have also developed retrofit kits for their systems.

Most of the products above look mostly like normal trucks with the addition of extra kit. Volvo and Scania have also been working on AHS but their products have been taking it further by removing the cab entirely. Scania launched its AXL product in September 2019. Volvo launched its Volvo Autonomous Solutions subsidiary in 2020 and its Tara system electric dump truck the same year. Volvo had previously planned to run a pilot for its Tara truck with Harsco Environmental carrying slag at the Ovako Steelworks in Hofors, Sweden. Unfortunately the pilot was disrupted by the start of the coronavirus pandemic shortly after it started.

It’s early days yet with the use of autonomous vehicles in the quarries of the cement and aggregates sectors. Obvious advantages are additional operational hours, better worker safety and reduced costs. As ever with automation, cutting out human jobs would be one disadvantage for the current workers at least. There is also the possibility that an experienced human driver using efficiency software tools might be better than a fully AHS. A challenge in the field is developing open standards or methods to allow autonomous machines to communicate or work with both products by the same manufacturer and its rivals, as well as with conventional human-driven ones. Another challenge is for the mining and quarrying industry to determine how flexible it wants its heavy vehicles to be. One thought to end with this that an autonomous vehicle with a cab and a steering wheel can still be driven by a human. The cab-less vehicles being tested by Volvo and Scania would be rather less useful if they get into a situation where the software can’t cope. Lots to consider.

If readers are aware of other examples AHS in the cement industry, please let us know at This email address is being protected from spambots. You need JavaScript enabled to view it.

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