21 Dec Benefited from US-China Trade War, PT Integra Indocabinet Tbk (WOOD) Signed MOU to Supply White Prime Mouldings to one of the Leading Building Component Product Distributor and Retail in US.
Benefited from US-China Trade War, PT Integra Indocabinet Tbk (WOOD) Signed MOU to Supply White Prime Mouldings to one of the Leading Building Component Product Distributor and Retail in US.
Sidoarjo, December 21st, 2018
In the event of the US-China trade war, import tariff on China’s product has caused it to become less competitive. WOOD in particular, would likely to be benefitted from the event, where total US import of wood related product from China itself accounted for approximately USD14bn in 2017 should shift towards more competitive countries such as Indonesia.
As our commitment to continually increase company’s growth, we seize the opportunity where WOOD has signed Memorandum of Understanding (MOU) with one of the US based leading building component product distributor and retailer. With the MOU, WOOD will supply White Prime Moulding/ Gesso to its counterpart with more competitive pricing starting around 2Q19. It is expected to consistently grow and reach the full capacity of 250 containers per month. This would be one of the growth catalyst of the company as the market value of full capacity would reach almost 50% of the 2018 sales.
Going forward, we expect to see more shifting wood-based product demand of US from China to Indonesia given its competitive advantage in abundant raw materials and lower minimum wage, hence offering more competitive prices.
About PT Integra Idocabinet Tbk:
Founded in 1989 in Sidoarjo, East Java, PT Integra Indocabinet Tbk is the largest vertically integrated wooden products manufacturer in Indonesia. Integra has established itself as the fastest growing furniture manufacturer with international and domestic accreditation. Integra also promote the use of sustainable resources and support the livelihood of local community. In fiscal year 2016 Integra employs approximately 2,388 team members across Indonesia.
For further information, please contact:
E-mail : firstname.lastname@example.org
Tel : (62 31) 891 0434
Website : www.integragroup-indonesia.com