2 min read –
ASEAN ALUMINIUM COMING –
Something is happening in the aluminium world, here in ASEAN –
Within the last 7 days,
➡️ LAOS announced the launch of a massive aluminium smelter with a one million ton per year (metal) capacity.
➡️ INDONESIA announced the launch of « INALUM 2 », with a planned capacity of 600 thousand tons per year of metal.
Both projects are scheduled to produce a first metal in 2028/2029.
For LAOS, it is the first smelter.
For Indonesia, it is the second state-owned smelter, the first being Inalum.
Here is what CNBC Indonesia published a few days ago :
Inalum (PT Indonesia Asahan Aluminium) is accelerating the construction of its second aluminium smelter and refinery in Mempawah, West Kalimantan.
This was marked by the groundbreaking ceremony for the second aluminium smelter on Friday (6/2/2026), officiated by the state-owned mining industry holding MIND ID and the Daya Anagata Nusantara Investment Management Agency (Danantara).
Once the facility becomes operational in 2029, Indonesia will no longer need to import primary aluminium.
Inalum President Director Melati Sarnita revealed that the new aluminium plant, which requires an investment of Rp 40.6 trillion (USD 2,4 billion), will significantly increase production capacity to meet domestic demand.
The second aluminium smelter is designed with a production capacity of 600,000 tons per year, complementing the existing facility in Kuala Tanjung, North Sumatra, which has a capacity of 275,000–300,000 tons per year.
This means that by 2029, Inalum’s aluminium production is expected to reach 900,000 tons per year.
This figure exceeds Indonesia’s primary aluminium demand of 520,000 tons per year.
Meanwhile, total aluminium demand in Indonesia currently stands at 1.2 million tons per year.
“ With our second aluminium plant operating in 2029, we will be able to meet Indonesia’s primary aluminium needs. We will no longer need to import primary aluminium,” Melati explained during a visit to the Smelter Grade Alumina Refinery (SGAR) area in Mempawah, West Kalimantan, as quoted on Monday (9/2/2026).
To support the operation of the second aluminium smelter, Inalum is also simultaneously developing the Phase 2 Smelter Grade Alumina Refinery (SGAR) project to ensure a steady supply of alumina raw materials at the same location.
The integration of upstream-to-downstream projects is expected to create an independent and competitive industrial ecosystem.
“With this project, we will no longer depend on imported alumina or imported aluminium,” she concluded.
Sources: CNBC Indonesia 9/02/2026, The Laotian Times 5/02/2026
Picture: CNBC Indonesia
Learn more about the primary aluminium Indonesian landscape here :
https://cintasia.com/indonesia-aluminium-smelter-inalum/
https://cintasia.com/how-we-stopped-an-inefficiency-worth-40-million-per-year/