On September 25, 2023, the Indonesian Government issued Government Regulation No. 46 of 2023 as an amendment to Government Regulation No. 28 of 2021 regarding the Organization of the Industrial Sector. One of the areas regulated is regarding the import of materials.

The government is now aiming to provide further ease of importation for business entities that utilize their Business Identity Number (Nomor Induk Berusaha, “NIB”) as General Importer Identity Numbers (Angka Pengenal Impor-Umum, API-U”) while ensuring the availability of Materials for domestic industry, in order to prevent any national economic disruption. The importation of Materials may be carried out not only by business entities whose NIB effectively function as Producer Importer Identity Numbers (Angka Pengenal Impor-Produsen, ”API-P”) but also by business entities that utilize their NIB as API-U.

As previously established, the objective of the Amendment is to make the importation of Materials easier for API-U Holders. In this regard, the Amendment states that imports of Materials may be carried out by API-U Holders, in addition to being carried out by API-P Holders. However, it should be noted that API-U holders are still limited to imports of only certain Materials, as specifically addressed under relevant laws and regulations.

The amendment now allows Materials suppliers that have secured API-U to import Materials for small- and medium-scale industries in cases where said industries have been unable to independently complete their imports.

Furthermore, the Amendment now allows industrial companies to import products for complementary purposes, market testing or after-sales services with the objective of enhancing investment. This new initiative was not regulated in previous regulations.

Government Regulation No. 46 of 2023 became effective from September 25, 2023.