Indonesia Eases Import Rules on 10 Commodities to Boost Competitiveness

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JAKARTA, Investortrust.id — The Indonesian government has relaxed import regulations on 10 key commodities as part of a broader deregulation initiative aimed at enhancing national competitiveness and strengthening the domestic economy amid global uncertainty.

Coordinating Minister for Economic Affairs Airlangga Hartarto said on Monday, June 30, that the deregulation push is designed to ease business operations, attract investment, and support labor-intensive industries.

“This policy provides greater convenience for businesses and boosts our competitiveness. It is also tailored to strengthen labor-intensive sectors that create jobs and accelerate economic growth,” Airlangga said during a press conference at the Ministry of Trade headquarters in Jakarta.

The deregulation includes the repeal of Minister of Trade Regulation No. 8/2024, replaced by nine new trade regulations issued to streamline import policies across specific commodity clusters. This reform package marks the first phase of a broader policy rollout initiated under President Prabowo Subianto’s directive.

10 Commodities Subject to Eased Import Rules

Trade Minister Budi Santoso detailed that the government has relaxed import requirements for 10 commodities, with several no longer classified under restricted goods (larangan dan pembatasan or lartas) and others requiring only a surveyor’s report (LS). The commodities with relaxed import regulations include:

1. Forestry products, covering 441 HS code classifications,

2. Subsidized fertilizers, covering 7 HS code classifications,

3. Plastic raw materials, covering 1 HS code classification,

4. Saccharin, cyclamate, and alcohol-based fragrance preparations, covering 2 HS code classifications,

5. Alternative fuels, covering 9 HS code classifications,

6. Specific chemicals, covering 2 HS code classifications,

7. Pearls, covering 4 HS code classifications,

8. Food trays, covering 2 HS code classifications,

9. Footwear, covering 6 HS code classifications, and

10. Two-wheeled and three-wheeled bicycles, covering 4 HS code classifications.

“This step reflects a targeted relaxation effort. Some products are no longer subject to import restrictions and now only need LS clearance,” said Budi.

Nine New Ministerial Regulations by Cluster

Budi also announced nine newly issued regulations that replace the revoked Minister of Trade Regulation No. 36/2023 and Minister of Trade Regulation No. 8/2024. These are structured by commodity clusters to allow faster policy responses in line with evolving needs. These are Minister of Trade Regulation:

1. No. 16/2025  about  General Import Policies,
2. No. 17/2025  about  Textiles and Textile Products,
3. No. 18/2025  about  Agricultural and Livestock Goods,
4. No. 19/2025  about  Salt and Fisheries Products,
5. No. 20/2025  about  Chemicals, Hazardous Materials, and Minerals,
6. No. 21/2025  about  Electronics and Telematics Goods,
7. No. 22/2025  about  Specific Industrial Goods,
8. No. 23/2025  about  Consumer Goods, and
9. No. 24/2025  about  Used Goods and Non-Hazardous Waste. 

“These clustered regulations give us flexibility to respond swiftly to global changes,” Budi explained, adding that the new rules will take effect two months after enactment to allow for system adjustments.

Part of OECD and Global Trade Push

Airlangga emphasized that the deregulation effort aligns with Indonesia’s roadmap to join the Organisation for Economic Co-operation and Development (OECD). He said it supports ongoing negotiations under trade pacts such as the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA) and non-tariff barrier talks with the United States.

“This is part of our trade diplomacy. Deregulation is essential for improving our global competitiveness rankings, especially after a poor assessment in the latest IMD World Competitiveness Report,” Airlangga noted.

He confirmed that this is only the first package in a series of policy rollouts expected under President Prabowo’s directive to simplify doing business and protect domestic industries from unfair foreign competition.