By
Bloomberg
Published
Jul 4, 2024
Indonesia is preparing to impose tariffs and use other means to protect its textile industry from imports from China, the latest in a series of nations which are responding to the flood of goods out of the world’s largest manufacturing nation.
Local textile associations requested the government step in after imports surged, hurting their business. The trade safeguards committee is investigating the issue and once they report the government will decide how to respond, Budi Santoso, the trade ministry’s director-general of foreign trade, said on Monday.
It’s unclear whether the government is considering imposing only safeguard duties or also other tariffs, but last Thursday the head of fiscal policy at the finance ministry said that they were planning to bring back safeguard duties on some fabric products which had expired in November 2022.
On Friday, Trade Minister Zulkifli Hasan said that Indonesia could impose up to 200% tariffs on imports to protect local industries from cheap goods from countries like China.