Indonesian officials clarify “200% import tariff”: not targeting any specific country

Indonesian Coordinating Minister for Maritime Affairs and Investment Luhut clarified the speculation of “200% import tariff” on the 5th. He said that this move is not aimed at any specific country, let alone China.

Indonesian Trade Minister Zulkifli Hassan recently said that Indonesia will impose 100% to 200% safeguard tariffs on imported products ranging from footwear to ceramics, restarting the plan to protect domestic industries. But this was interpreted by the outside world as Indonesia’s plan to impose a 200% import tariff on Chinese imports.

Luhut responded that the news has caused a variety of misunderstandings and speculations. “Indonesia will not simply follow certain countries, although we must safeguard national interests. Therefore, the issue of 200% tariffs on China needs to be clarified to avoid controversy and misunderstandings among our partners.” He said.

According to Luhut, on June 25, 2024, Indonesian President Joko chaired a coordination meeting and decided to protect domestic industries in accordance with current regulatory provisions and applicable international trade norms. One of the measures is to implement safeguard tariffs on several textiles, but “the tariff has actually been implemented.” Luhut said the measure applies to all imported goods, regardless of specific countries of origin.

In addition, Jokowi also called for stricter supervision of imported goods, especially used clothes or smuggled goods entering Indonesia, to avoid disrupting the domestic market.

Luhut stressed that all these measures will not target any specific country, let alone China. He revealed that he is communicating with the Minister of Trade to balance national interests with international partnerships.

Luhut said that China is a very important trade and investment strategic partner for Indonesia. Indonesia hopes to ensure good relations with partner countries and give priority to the principles of mutual trust, mutual respect and complementarity. Especially under uncertain global conditions, it is even more necessary to work together.