Strengthening Production Base for Domestic and Export Market, PT HSG Material Indonesia Officially Groundbreaking New Factory in Kendal SEZ

April 27, 2025

As one of the fastest growing industrial zones in Indonesia, Kendal Special Economic Zone (SEZ) is increasingly attracting global investors to invest in various strategic sectors. Most recently, PT HSG Material Indonesia officially began construction of its new factory through a groundbreaking ceremony held on Sunday, April 27, 2025, marking the development of the building materials industry sector in the region.

 

The plant will focus on the production of construction materials such as prefabricated pipe piles, prefabricated square piles, and precast concrete, aimed at meeting industry demand in the domestic and export markets. The company is a subsidiary of Fujian Hongsheng Material Technology Co., Ltd. a Chinese company known as a pioneer in the development of high-quality basic building materials.

 

With a construction completion target in the first quarter of 2026, the plant is designed to have a sales capacity of 3 million units of precast concrete piles per year as well as 150 thousand square meters of ready-mixed concrete per year. In the initial stage, PT HSG Material Indonesia expects to employ around 250 people. In addition, the company will also manage export and import activities with an estimated cargo volume of between 3,000 to 5,000 tons of shipments per day.

 

During the event last Sunday, Executive Director of Kendal Industrial Estate (KIK), Juliani Kusumaningrum, expressed her appreciation for PT HSG Material Indonesia's commitment in choosing Kendal SEZ as its investment location. "We are very proud to be part of PT HSG Material Indonesia's strategic expansion. The presence of this new investment not only strengthens the industrial ecosystem in Kendal SEZ, but also has a positive impact on regional economic growth through job creation, increased export activity, and encourages the creation of domestic industrial added value. We are fully committed to supporting the smooth and successful operations of HSG going forward," she said.

 

Fujian Hongsheng Group Chairman, He Bao Ping, also emphasized that the construction of this plant is part of the company's long-term vision to expand its global footprint. "We see that Indonesia has great economic potential as it is in a period of rapid development, with infrastructure development well underway. Especially Central Java, which is an important symbol in connecting Southeast Asia and the global market. We are confident that, with HSG's high quality products, we can make a positive contribution to Indonesia's economic growth," he said.

 

Similarly, Wang Yuzhong, Chairman of the Fuqing Chamber of Commerce in Semarang, also expressed his support. "We hope that Indonesia HSG can make Kendal Industrial Park a starting point to integrate advanced technology and eco-friendly concepts from China with local needs in Indonesia. We are optimistic that HSG will establish a first-class green building materials production base in Southeast Asia, as well as expand its supply chain network covering the entire ASEAN region and become a model of capacity cooperation between China and Indonesia."

 

A number of honored guests also attended the ceremony, including Mei Wenjun, Deputy General Manager of the Overseas Business Department of the General Contractor Company of China Construction Third Engineering Bureau (CSCEC Third Bureau), and Cahyo Prastiadi, Head of Supervision and Control of the Kendal Special Economic Zone (KEK) Management Committee. The presence of these stakeholders further strengthens the synergy between institutions in supporting the development of the industrial sector and sustainable investment in Kendal SEZ.