In July 2024, the Minister of Finance issued Minister of Finance Regulation No. 48 of 2024 on the Imposition of Safeguard Import Duty on Imports of Fabric Products (“Regulation 48”) and Minister of Finance Regulation No. 49 of 2024 on the Imposition of Safeguard Import Duty on Imports of Carpets and Other Floor-Covering Textile Products (“Regulation 49”). Both Regulations deal with safeguard import duty, which is a trade protection measure issued by a country to protect its domestic industry from high volume of imports that could harm the domestic producers.
According to the investigation results from the Indonesian Trade Safeguard Committee (Komite Pengamanan Perdagangan Indonesia), the domestic industry in Indonesia continues to face a significant threat of severe losses due to imports and requires additional time for necessary structural adjustments. Hence, it is necessary that a safeguard import duty on particular imported products such as fabric, carpets, and other floor-covering textile products be imposed. Moreover, the previous regulation on safeguard import duty has expired.
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