The coal mining sector in Indonesia is experiencing a shortage of tires for heavy equipment. It is projected that the supply of heavy machinery tires in Indonesia will only be able to supply for the next 2 months. Currently, there are no factories in Indonesia that can produce off-road radial tires.
The Ministry of Energy and Mineral Resources (ESDM) highlighted the scarcity of radial off-road tires in the mining sector, if this shortage continues it will have a direct impact on production. This condition has triggered concerns over export and supply of coal to the State Power Plant (PLN).
Irwandy Arif, Special Staff to the Minister of Energy and Mineral Resources for the Acceleration of Mineral and Coal Management, said that the prolonged scarcity of tires for heavy equipment could hamper the pace of domestic coal production.
“The availability of heavy equipment tires in the country is only able to meet demand for the next 1-2 months. If there are no tires, production cannot run,” said Irwandy, on July 21, 2023.
Ministry and association responds
The Ministry of Energy and Mineral Resources through the Directorate General of Minerals and Coal is intensively communicating with associations of coal miners and industry or heavy equipment tire manufacturers.
The coordination aims to accelerate the provision of heavy equipment tires that meet the operational requirements of coal mining.
“We also coordinate between ministries for industry to meet these requirements. Hopefully, there will be a solution soon, “said Irwandy.
The Indonesian Mining Services Association (ASPINDO), the Indonesian Coal Mining Association, and the Association of Indonesian Heavy Equipment Experts are concerned about the potential for disruption to coal production due to the scarcity of off-road tires used by heavy equipment.
Bambang Tjahyono, Executive Director of ASPINDO said that most mining companies face serious problems in the form of limited supply of off-road tires for heavy equipment used in mining activities.
“If this condition is prolonged, it is feared that it could hamper the smooth export and supply of coal to PLN,” said Bambang, on June 16, 2023.
He explained, generally in the mining sector tires for heavy equipment used are radial tires and not ordinary tires. However, so far there is no tire factory in Indonesia capable of producing off road radial tires.
“If we are forced to use ordinary tires, the service life of these tires will be very short, resulting in very high production costs,” said Bambang.
Business actors in Indonesia expect the Government of Indonesia to strive for domestic production of radial type heavy equipment tires. In addition, it can guarantee the supply of tires to minimize the economic impact that arises.
