Govt Urged to Block Dumped Goods Flooding Indonesia After Trump's Tariff Hike

2 days ago 3

TEMPO.CO, Jakarta - The Indonesian Telematics Device Industry Association (AIPTI) has urged President Prabowo Subianto’s administration to curb an influx of dumped Chinese goods after the United States imposed reciprocal import tariffs. US President Donald Trump introduced reciprocal tariffs on several trading partners, including a 32 percent duty on Indonesian goods.

Other Asian countries have also been hit with steep tariffs—China and Vietnam face import duties of 34 percent and 46 percent, respectively. “This policy risks triggering a massive influx of goods into Indonesia’s domestic market as an alternative destination, potentially through dumping schemes that could harm national industries,” AIPTI Chairman Ali Soebroto said in a statement on Sunday, April 6.

Dumping refers to selling goods abroad at lower prices than in the home market. AIPTI warns that Trump’s tariffs could flood Indonesia with imported electronics from China and Vietnam. He is therefore urging the government to protect the domestic market from an oversupply of dumped electronic and telematics products from these countries.

As a first step, Ali urged the Ministry of Trade and the Ministry of Industry to promptly investigate dumping indicators alongside relevant industry associations. “The findings will provide a critical basis for swiftly and accurately applying trade remedies, such as Anti-Dumping Import Duties (BMAD),” he explained.

Next, Ali stressed the need to refine and strengthen trade regulations, including revisiting import policies and potentially reinstating mechanisms from Minister of Trade Regulation No. 36 of 2023. He also called for a review of Minister of Trade Regulation No. 8 of 2024, currently under revision, which he criticized as overly lenient on imports, posing a threat to domestic industry.

“This would provide the Ministry of Industry broader and more centralized authority to manage and protect the domestic market comprehensively and sustainably,” Ali explained.

In addition to proposing regulatory adjustments, Ali also stressed on the importance of preserving existing policies. “The Domestic Component Level (TKDN) regulation remains a key, effective shield for national industrial independence, in line with international legal standards,” he noted, particularly for the telematics subsector covering handphones, computers, and tablets (HKT).

Earlier, the White House stated that President Trump’s reciprocal tariffs aim to strengthen the United States’ global economic position and protect American workers. “Today, President Donald Trump announced that foreign trade and economic practices have created a national emergency,” read a White House fact sheet published on April 2, 2025, on whitehouse.gov

Several countries, including Indonesia, have been accused of unfairly exploiting US trade—a key reason behind prompting the new tariffs. According to the White House, the Trump tariffs will be implemented in a two-phase rollout: a 10-percent tariff on all countries effective Saturday, April 5, 2025, at 12:01 a.m. EDT (11:01 a.m. WIB), followed by country-specific tariffs—including Indonesia’s—starting Wednesday, April 9, 2025, at 11:01 a.m. WIB.

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