Indonesia plans import duties on clothing, ceramics, minister says

(Source: Reuters/Willy Kurniawan)

Indonesia will impose safeguard duties of 100 to 200 per cent on imports ranging from footwear to ceramics, reviving a plan to protect domestic industries, the trade minister said.

The planned import duties average more than 100 per cent, Trade Minister Zulkifli Hasan told reporters on Friday. “If we are flooded with (imported goods), our micro, small and medium enterprises could collapse.”

Southeast Asia’s biggest economy issued a regulation late last year to tighten monitoring for more than 3000 imported goods, from food ingredients to electronics to chemicals.

However, the regulation was reversed after domestic industry said it hindered the flow of imported materials needed by domestic industry.

Duties will be imposed soon and could affect imports of footwear, clothing, textiles, cosmetics and ceramics, Zulkifli said.

The Indonesian Trade Safeguards Committee is investigating to determine duty rates, senior trade ministry official Budi Santoso said on Saturday.

Indonesia mainly imports apparel and clothing accessories from China, Vietnam and Bangladesh, data from the statistics bureau show.

  • Reporting by Bernadette Christina; Editing by William Mallard, of Reuters.

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