Taiheiyo Cement, Semen Indonesia expand soil stabilization business partnership

By Romel S. Gurky

Japan’s Taiheiyo Cement Corporation said it has signed a soil stabilization business agreement with state cement producer PT Semen Indonesia (Persero) Tbk (IDX: SMGR) and its subsidiaries to expand ground improvement solutions in the country.

The agreement involves collaboration with units including PT Solusi Bangun Indonesia Tbk and PT Multi Mineral Industri, as well as Taiheiyo’s local subsidiary PT Taiheiyo International Indonesia.

The partnership aims to develop a joint soil stabilization business by combining Taiheiyo Cement Group’s technology with the manufacturing and distribution capabilities of the Semen Indonesia Group.

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Taiheiyo said the initiative will focus on supplying soil stabilizers and supporting infrastructure development, particularly in areas with soft ground conditions.

The companies have collaborated since 2020 on areas including exports, soil stabilizers and research and development.

Demand for soil stabilization is expected to grow due to geotechnical conditions in Indonesia, where parts of the land are prone to instability and require ground improvement for infrastructure projects.

The companies said the partnership is expected to support the development of infrastructure and contribute to more stable construction conditions.

Editing by Alexander Ginting