Indonesia imposes textile product import tariffs up to 67 percent

The Indonesian government has imposed temporary additional duties on imports of textiles and textile products up to 67.7 percent, the country’s finance ministry has said.

Illustrative image (Source: betterwork.org)
Illustrative image (Source: betterwork.org)
The fresh move is a safeguard measure to protect the domestic upstream industry from a recent surge in imports and encourage the use of domestic market products.
The policy is regulated in three circulars - PMK 161/PMK.010/2019, PMK162/PMK.010/2019, and PMK 163/PMK.010/2019, which can be accessed on the official website of the ministry.
Through PMK 161/PMK.010/2019, the finance ministry has determined temporary additional duties for yarn products – other than sewing thread – from imported synthetic and artificial staples starting from 1,405 Rp (US$0.1) a kilogram.
Meanwhile, in PMK162/PMK.010/2019, the ministry has also set temporary additional duties for imported fabric products ranging from 1,318 Rp to 9,521 Rp a meter and ad valorem rates ranging from 36.3 percent to 67.7 percent.
Then, in PMK 163/PMK.010/2019, the ministry imposed temporary additional duties on curtains products, blinds, bed nets, and other furniture items imported at 41,083 Rp a kilogram.
Syarif Hidayat, the ministry’s director of international customs and inter-institutions, said on November 11 that the duties will be imposed on 121 imported textile products within 200 days, starting from November 9.
Lately, Indonesia has seen a jump in imports of textiles and textile products. The Indonesian Trade Safeguard Committee recently launched an investigation into the upturn in fabric imports after a complaint was filed by the Indonesian Textile Association.
From the preliminary evidence put forward in the complainant, the committee found a sharp increase in fabric imports. Moreover, there was a preliminary indication of serious damage or potentially serious damage to the domestic industry.

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