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Nandina Kusumaningrum

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Nandina Kusumaningrum is a trade specialist in Baker McKenzie's Jakarta office.

“In the spirit” of simplifying Indonesian regulatory frameworks, the Minister of Trade (MOT) recently issued MOT Regulation No. 18 of 2021 on Goods Prohibited from Being Imported and Exported to further implement Government Regulation No. 29 of 2021 on the Organization of the Trade Sector.

On 7 May 2021, Indonesia ratified a Comprehensive Economic Partnership Agreement (CEPA) with the European Free Trade Association (EFTA). The CEPA was introduced to accelerate the economic recovery from the effects of the pandemic and enhance comprehensive economic cooperation between Indonesia and the EFTA.

In response to an Indonesian Trade Security Committee report that shows that local manufacturers are threatened by the increased import of apparel and its accessories, the Ministry of Finance has imposed a safeguard duty on imports of those products. Minister of Finance Regulation Number 142 of 2021 on the Imposition of Safeguard Duty on the Import of Apparel and Its Accessories became effective on 12 November 2021.

The Ministry of Trade (MOT) has issued Minister of Trade Regulation No. 59 of 2020 (“Regulation 59”) which is an amendment to Minister of Trade Regulation No. 118/M-DAG/PER/12/2015 on Import Provisions for Complementary Goods, Goods for the Purpose of Market Testing, and After-Sales Service (“Regulation 118”).

The Ministry of Trade has issued Minister of Trade Regulation No. 59 of 2020 (“Regulation 59”) which is an amendment to Minister of Trade Regulation No. 118/M-DAG/PER/12/2015 on Import Provisions for Complementary Goods, Goods for the Purpose of Market Testing, and After-Sales Service (“Regulation 118”).

Government Regulation No. 40 of 2021 on the Organization of Special Economic Zones was issued as one of the implementing regulations of Law No. 11 of 2020 on Job Creation. GR-40 is consistent with the changes set out by Article 150 of the Omnibus Law on the amendment of the SEZ Law. The only differences concern the added scope of business lines provided under GR-40. In particular, GR 40 sets out more comprehensive provisions than the general provisions stipulated in the Omnibus Law and offers more facilities in SEZ.

On 28 May, the Ministry of Trade (MOT) issued a more comprehensive regulation on post-border import by enacting MOT Regulation No. 51 of 2020 on Post-Border Import Inspection and Supervision (‘MOT Regulation 51’). When Regulation 51 comes into effect on 28 August, the 2018 post-border import supervision policy[1]  will no longer prevail.