WT/TPR/M/401  
17 February  2021 
(21-1317) Page: 1/65 
Trade Policy Review Body   
9 and 11 December  2020  
  
TRADE POLICY REVIEW  
INDONESIA  
MINUTES OF THE MEETING  
Chairperson: H.E. Mr Harald Aspelund (Iceland)  
CONTENTS  
 
1  INTRODUCTORY REMARKS BY THE CHAIRPERSON  ................................ .......................  2 
2  OPENING STATEMENT BY THE REPRESENTATIVE OF INDONESIA  ................................ . 4 
3  STATEMENT BY THE DISCUSSANT  ................................ ................................ ................  8 
4  STATEMENTS BY MEMBERS  ................................ ................................ ........................  11 
5  REPLI ES BY THE REPRESENTATIVE OF INDONESIA  AND ADDITIONAL COMMENTS  .... 56 
6  CONCLUDING REMARKS BY THE CHAIRPERSON  ................................ .........................  64 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: Advance written questions and additional questions by WTO Members, and the replies provided 
by Indonesia  are reproduced in document WT/TPR/M/ 401/Add.1  and will be available online at 
http://www.wto.org/english/tratop_e/tpr_e/tp_rep_e.htm.  WT/TPR/M/401  • Indonesia  
 
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  1  INTRODUCTO RY REMARKS BY THE CHAIRPERSON  
1.1.  The seventh  Trade Policy Review of Indonesia  was held on 9 and 11 December  2020. The 
Chairperson, H.E.  Mr. Harald Aspelund (Iceland) , welcomed the delegation of Indonesia , headed by 
H.E. Mr. Jerry (Adhitya Ksatria) Sambuaga, V ice Minister for Trade; the Indonesian delegation; and 
the discussant, H.E. Ambassador Ángel Villalobos Rodríguez  (Mexico) . He thanked the Indonesian 
delegation for the flexibility shown in accepting to have the meeting held in this format, in spite of  
the time difference with its capital and all the logistic inconveniences  
1.2.  The Chairperson was pleased that, in addition to physical presence, the meeting also benefited 
from the Interprefy online connection, allowing for a wider participation of the Member ship, in 
particular of Indonesian  officials who could not make the journey from Jakarta  given the current 
circumstances.  
1.3.  The Chairperson recalled the purpose of TPRs and the main elements of procedures for the 
meeting. The report by Indonesia  is contained  in document WT/TPR/G/401  and that of the WTO 
Secretariat in document WT/TPR/S/401 . 
1.4.  Questions by the following delegations were submitted in writing before the deadline:  
Dominican Republic; Brazil; Argentina; Canada; Mexico; Republic of Korea; Australia; P eru; Chile; 
United States; United Kingdom; Colombia; Chinese Taipei; New Zealand; Malaysia; Singapore; 
European Union; Switzerland; Pakistan; Norway; Ukraine; Japan; Philippines; and Russian 
Federation. The following delegations submitted written questions  after the deadline: Thailand ; 
Turkey; India; Kazakhstan; Kingdom of Saudi Arabia ; China; Iceland; and Cambodia . 
1.5.  During the previous TPR meeting on 10 and 12 April 2013, Members had commended Indonesia 
on its strong economic performance and solid progress in consolidating economic reform , and had 
encouraged addressing the remaining challenges to future economic development, inter alia, 
economic and trade diversification, infrastructure and income distribution, and the business 
environment a nd governance. Fo r the current R eview, Members , through their advance written 
questions , sought information regarding participation in global and regional value chains, monetary 
and exchange rate policy measures , and policies and/or program mes to address the impact of the 
COVID -19 pandemic and to encourage gender equality and women ’s empowerm ent. 
1.6.  Members also recall ed that, at the time of the previous R eview, while stressing Indonesia's 
growing economic prominence globally and its constructive role on the international stage , they 
expressed growing concern s about new trade and investment measu res that raised important 
questions about the direction of trade and investment policy -making and that seemed , at times , to 
be at odds with professed support for open trade and strengthening the multilateral trading system. 
As indicated by the advance writ ten questions for this Review, several Members wished  to have more 
details on: policy objectives relating to raising industrial value added and import substitution; the 
new omnibus legislation; the ratification and impact of the Regional Comprehensive Econ omic 
Partnership (RCEP) Agreement; ownership limitations and the time -frame for the revision of the 
2016 negative investment list; the Online Single Submission platform; and , developments in bilateral 
investment treaties.  
1.7.  With regard to trade polic y, at th e time of the previous R eview, Members  had welcomed 
Indonesia's overall efforts in the area s of customs reform, steps to reduce the average applied MFN 
tariff rate , and its observership to the GPA. However, they had expressed concern about other issues, 
such as the large tariff binding gap between bound and applied rates, a number of trade restrictive 
measures (e.g. import licensing and permit s, point -of-entry restrictions, pre -shipment inspection, 
and various export taxes and prohibitions), the increasingl y frequent use of safeguards 
investigations, investment barriers, the low use of international standards , and the lack of risk 
analysis for certain SPS -related measures. They had also encouraged Indonesia to timely notify 
regulations that may affect tradin g partners before implementation, simplify import requirements 
and procedures and make them more transparent, and review more periodically its negative list for 
investment. During the review period, the general thrust of trade policy had been  revised in se veral 
areas, including  tariffs; customs procedures; import and export prohibitions; restrictions and 
licensing; export taxes; and export finance, guar antees and insurance. For this R eview, in their 
advance written questions, some Members expressed interest  in learning more about developments 
in certain areas, such as: customs clearan ce, customs valuation and trade -facilitation initiatives; WT/TPR/M/401  • Indonesia  
 
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  tariffs; import prohibitions, quantitative restrictions and licensing developments; safeguard and 
anti-dumping action s; the use of local -content requirements; exp ort taxes and prohibitions; and 
free-trade and special economic zones. Members were also interested in tax reforms and incentives; 
labelling and certification requirements; SPS issues; the reform of state -owned en terprises; 
governm ent procurement; price controls ; and, changes to the IPR regime.  
1.8.  In terms of sectoral trade policies, Members were interested in having more clarity on: several 
aspects of the agriculture, fisheries and forestry regulatory framework, policy and measures; foreign 
investment requirements and export restrictions in mining; energy foreign investment, regulatory 
developmen ts, fuel subsidizat ion and renewable sources; the e lectric vehicles programme; the 
services development strategy; developments in market access barriers regarding financial services; 
competition issues in telecommunications; transport strategies and FDI re strictions; e -commerce 
developments; and the international medical tourism initiative.  
1.9.  Indonesia received around 900 advance written questions from 3 2 delegations for this Review. 
The Chairperson  was informed by the Secretariat that , unfortunately , Indone sia was not in a position 
to provide replies before the start of the meeting.  
1.10.   The meeting was a good opportunity for Members to discuss in greater detail issues of interest 
to them and of systemic importance to the multilateral trading system. It was also an opportune 
moment for Indonesia to update the Membership on the impact of COVID -19 on  its economy , and 
measures it had taken in response  to it. The Chairperson  looked forward to a fruitful exchange.  
  WT/TPR/M/401  • Indonesia  
 
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  2  OPENING STATEMENT BY THE REPRESENTATIVE OF INDONESIA  
(H.E. MR. JERRY  SAMBUAGA ) 
2.1.  It is a great honor for me to be here today to lea d the Indonesian delegation to the s eventh 
Trade Policy Review, which will continue the day after tomorrow. My name is Jerry Sambuaga, the 
Vice Minister of Trade of the Republic of Indonesia, and I am tasked by my Gov ernment to lead the 
Indonesian d elegation to this important meeting in view  of current national, regional and global 
economic contexts.  
2.2.  As all of us may observe, preparing, and holding a Trade Policy Review this year takes a lot 
more time and energy than we all may have expected. This is due to the challenges brought about 
by the  Covid -19 pandemic which have created new pressures on member states under review, 
particularly in terms of pursuing internal coordination amongst relevant agencies in times of 
COVID -related lockdowns and restrictions, and in term of coordination between M embers' capital 
and Geneva.  
2.3.  On that note, the Indonesian d elegation wishes to convey its high appreciation to you, His 
Excellency Ambassador Harald Aspelund, Chairman of the Trade Policy Review Body, for providing 
guidance and leading this policy review p rocess. Our sincerest thank also goes to His Excellency 
Ambassador Ángel Villalobos Rodríguez of Mexico for taking up the task as our discussant. Last but 
not least, we would like to convey our gratitude to the WTO Secretariat for working closely with 
Indonesia's Task Forc e so that both the Secretariat report and the Government r eport could be 
completed in time.  
2.4.  Before I begin with the more substa ntive points, my d elegation wishes to extend our 
condolences to the Member States who have experienced natural disasters, and to anyone who is 
suffering from Covid -19 and has lost loved ones or friends to the pandemic. I hope that all delegates 
and their families are healthy and coping well in this time of trying.  
2.5.  The global economy has evolved enormously since Ind onesia's last Trade Policy Review in 2013. 
Disruptions spurred by Industry 4.0 continue to pose a new challenge to us. Trust deficit in the 
multilateral trading system continues to cause adverse domino effects on ways Member States of 
the WTO engage with e ach other. These include, among others:  
• continued if not the deepening and further expansion of trade tension between two major 
economies and its impacts on other countries;  
• increased trade barriers and the use of trade remedy measures;  
• "tit-for-tat" app roach to economic relations, which may put aside the incentives for 
international cooperation;  
• a tendency toward punitive plurilateral actions; and  
• the proliferation of bilateral trade agreements.  
2.6.  We have witnessed a continued slowdown in global trade in recent years, only to be aggravated 
by the spread of the Covid -19 pandemic, which has caused an unprecedented impact on the global 
economy and trade. It is against such a backdrop that I wish to provide an introdu ctory remark to 
our Government r eport before us to better understand how our economy has evolved since 2013.   
2.7.  Despite the continued presence of global challenges throughout the review period, Indonesia 
has ensured solid growth and sustained development. The resilience of Indonesia's econo my is a 
reflection of its relatively strong fundamentals and sound macroeconomic policy.  
2.8.  During the review period from 2013 to 2019, Indonesia's annual average GDP growth rate 
stood at 5.1%. In terms of value, Indonesia's GDP per capita increased from USD 3,531 in 2014 to 
USD 3,927 in 2018, which is equal to the GNI per capita of USD 3,820. We managed to keep the 
poverty level at a low single -digit of 9.82% in 2018, on account of our effective poverty alleviation 
programs.  
2.9.  As shown in Chart 2.3 in our Gove rnment r eport, we managed to keep the inflation  rate within 
the target of 3%  between 2015 and the early months of 2020. Higher inflation rates were recorded 
in 2013 and 2014 due to the increase in energy prices caused by a strategic measure taken by the 
Government to reallocate energy subsidies to infrastructure development and social programs. This, WT/TPR/M/401  • Indonesia  
 
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  amongst others, has allowed the Government to lower the unemployment rate from 5.94% in 2014 
to 5% in 2019.  
2.10.   Some economic achievements I mentioned earlier are  the resultants of policies and measures 
taken by the Government of Indonesia to improve the eco -system in time of continued challenges 
in the world economy. These policies and measures include the improvement of investment climate, 
enhancement of industri al competitiveness, upgrading of logistics efficiency, promotion of tourism, 
and strengthening the people's purchasing power. It should be underlined that domestic demand 
and government procurement have been the main driving forces in our economy in respon se to 
changing external conditions.  
2.11.   It is not included in our report, but allow me to refer to the World Bank Doing Business Reports 
between 2014 and 2020 for us to understand more about how Indonesia's economy  evolves during 
the Review p eriod. The Ease of  Doing Business Reports on Indonesia suggests that we managed to 
improve our rank of overall index from 120 in 2014 to 73 in 2020. We continue to believe that there 
is plenty of room for Indonesia to make further improvements. Two out of 10 parameters will  be 
given special attention for significant improvements in the near future. They are "dealing with 
construction permits" and "trading across borders." Let me touch on these two parameters briefly.  
2.12.   On "dealing with construction permits," we see the need fo r better policy coordination between 
the Central and Regional Governments to address the issue. This is particularly the case as Indonesia 
adopts a decentralization policy to allow regional governments to make decisions on some economic 
policies so as to e nsure that they fit specific regional settings on the ground. However, as the 
economic challenges continue to become more complex both at the central and regional levels, the 
Government should do something about it to resolve the persistent problems.  
2.13.   On "trading across borders," one should not lose sight of the external environment within 
which our economy operates. Earlier I mentioned the growing tendencies toward raising trade 
barriers, the "tit -for-tat" approach in international trade, more resort to tr ade remedy measures, 
and unilateral actions. This is not to mention an increased trend toward the adoption of new 
standards which, in some cases, is questionable whether they are based on a genuine consideration 
of protecting human health and life, or they  have something to do with stiffer competition in the 
markets.  
2.14.   This is not to say that it is fine for Indonesia, or any other country on that matter, to just 
follow the trend of raising barriers. Indonesia will address the issues, but we hope that others a lso 
do the same in order to restore confidence in international trade. It takes "two to tango" if we are 
to make difference in the multilateral trading system.  
2.15.   If I could quote our President's assertion after the signing of the Regional Comprehensive 
Econo mic Partnership or RCEP on 15 November 2020, "Indonesia is for an open economy." Our 
President did not categorically talk about "liberalization" but, rather, about opening our economy in 
a fair and win -win manner. I believe this is a key to understand wher e Indonesia is heading to. This 
explains why Indonesia continues negotiating trade agreements with like -minded countries, big and 
small, in our quest for a better position on the global trade map; a better place in the global value 
chain which is being con fronted now by more centripetal forces than centrifugal ones.  
2.16.   While continuing to support the multilateral trading system by participating actively in 
discussions in the WTO as illustrated in p aragraph 3.4 of our Government r eport, Indonesia also has 
been quite proactive in pursuing regional and bilateral trade negotiations which  — we believe  — can 
serve as the building blocks in support of a stronger multilateral trading system.  
2.17.   Within ASEAN, Indonesia has been active to work with other nine ASEAN Me mber States to 
implement the ASEAN Ec onomic Community Blueprint 2015 –2025. With nine ASEAN Member States, 
we are also an active party to review and improve the existing ASEAN Plus One FTAs with ASEAN's 
six trading partners.  
2.18.   Bilaterally, we are in the proce ss of upgrading Indonesia's Preferential Trade Agreement with 
Pakistan and the Economic Partnership Agreement with Japan. Indonesia is working with Chile now 
to start bilateral negotiations on trade in services and inves tment to complement our 
already -entered-into-force bilateral trade in goods agreement. We have entered the implementation WT/TPR/M/401  • Indonesia  
 
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  stage of our Comprehensive Economic Partnership Agreement with Australia while in the final 
process of ratifying our Preferential Trade Agreement with Mozambique and Comp rehensive 
Economic Partnership with EFTA countries.  
2.19.   Further on the bilateral front, we are in the process of negotiating trade deals with the 
European Union, Tunisia, Turkey, Bangladesh, Mauritius, and Morocco, while planning to sign the 
Comprehensive Econ omic Partnership Agreement with Korea very soon this month. We also have 
initiated exploratory talks with other countries in Africa and South Asia , as well as groups of countries 
like the Eurasian Economic Union, MERCOSUR, and members of the Gulf Cooperati on Council.  
2.20.   All this is not to mention the recently signed Regional Comprehensive Economic Partnership 
or RCEP Agreement amongst its 15 participating countries. Indonesia has been the initiator of the 
RCEP concept and played a key role in the negotiation process as the ASEAN Country Coordinator 
for RCEP Negotiation, and in chairing the RCEP Trade Negotiating Committee.  
2.21.   The point my delegation wishes to make is that Indonesia continues to reform the economy. 
Basically, we can do it in two ways. We may do th e reform by ourselves, deciding on the parameters 
and targets by ourselves, then proceed with the reform. Instead, we opt for doing it in parallel with 
negotiating some economic deals with our trading partners in order to get the bonus; that is, better 
market access and more investment.  
2.22.   On the latter, it is worth mentioning that we are not only inviting in -bound investment but 
also promoting out -bound investment. Between 2014 and 2018, about 51 Indonesian companies 
established their overseas investment, in cluding in ASEAN and other countries such as India, China, 
Saudi Arabia, Nigeria, and Australia. These investments were established in various sectors, among 
others in constructions, software, IT services, financial services, and pharmacy. Our business als o 
made a big investment in Nigeria, Canada, some European countries, Ecuador, and others in such 
sectors as food, pulp and paper, biofuel, and Spa.  
2.23.   Back to "behind the border," in the context of creating a more conducive environment for 
business, the Gover nment introduced the online processing platforms for investment and business 
licensing procedures in 2018. Much earlier, we had established Indonesia's National Single Window 
to facilitate exporters and importers to do the on -line mandatory processing for their export and 
import activities. On this platform, we also added Indonesia's Trade Repository —an authoritative 
source of information relating to exports and imports. And of course, in line with our commitment 
under the WTO Trade Facilitation Agreement, we have established Indonesia's Trade Facilitation 
Committee to ensure the timely provisions of our commitments under the Agreement.  
2.24.   To peel the onion a little bit, in 2017 Indonesia established the Indonesia TBT National 
Committee to ensure better coordin ation on TBT issues with all stakeholders. The Committee is 
tasked to observe the effective operationalization of the principle of transparency enshrined in the 
WTO TBT Agreement.  
2.25.   All this brings me to what we consider as a very important point in the con text of Indonesia's 
Trade Policy Review this time.  
2.26.   On 2 November 2020, the Government enacted the so -called Omnibus Law on Job Creation. 
This is a direct response of our Government to the many concerns raised by the private sectors  — 
national and from oth er countries  — on the uncertainties and high -cost economy they have been 
facing for years in, and with, Indonesia.  
2.27.   In a nutshell, the Omnibus Law focuses on nine broad areas and two implementing 
arrangements. These nine broad areas cover the followings:  
• improvement of investment eco -system ; 
• simplification of business permits ; 
• employment and job creation ; 
• support for micro, small and medium enterprises;  
• ease of doing business ; 
• research and innovation ; 
• land acquisitions ; WT/TPR/M/401  • Indonesia  
 
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  • economic zones;  and 
• establishment of the So vereign Wealth Fund as well as the acceleration of strategic 
national projects . 
2.28.   The two implementing arrangements I mentioned earlier are on, first, the administration of 
the Law which includes Good Regulatory Practices; Service Leve l Agreement; Norms, Standards, 
Procedures, and Criteria; and digitalization of government services. The other arrangement is on 
sanctions.  
2.29.   In response to a total of 890 questions we received from the  Member States as of 
8 December  2020, we intend to provide rather general yet meaningful answers for Memb ers to get 
better understanding  of where Indonesia is coming from and which direction we are going to. We 
may not be in the position to provide  detailed responses in time as d elegates may expect, and th is 
is due to the fact that around 19 ministries are now in the process of drafting the implementing 
regulations which should be completed within 90 days after the official ad option of the Law on 
2 November  2020.  
2.30.   Nevertheless, we will do our best in terms o f providing adequate responses to all questions, 
and in parallel taking them as inputs to the making of implementing regulations of the Law.  
2.31.   To conclude, Mr. Chairman and d elegates, I wish that this Trade Policy Review will be of 
particular benefits to Me mbers and Indonesia as we would like to contribute positively  — however 
little it maybe  — to the restoration of strong confidence in the multilateral trading system which 
should allow an open, fair and predictable trade environment for all Members of the W TO. I thank 
you, Mr. Chairman.  
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  3  STATEMENT BY THE DISCUSSANT  
3.1.  Thank you, Mr Chair. Good morning, everyone. I hope that you and your families are all well 
amid this health emergency.  
3.2.  Let me begin by welcoming the delegation of Indonesia to its seventh Trade Policy Review, led 
by Mr Jerry Sambuaga, Vice Minister of Trade . 
3.3.  I should like to thank Mr . Sambuaga for his excellent presentation, Ambassador Harald 
Aspelund for his introductory remarks and the WTO Secretariat for the professionalism shown in its 
report . I would also like to highlight the valuable work of the Indonesian Mission to this Organization.  
3.4.  I am honoured to participate in this review of Indonesia. Reviewing the policies, actions and 
performance of this large economy and its efforts to develop an d improve its people's standard of 
living is most rewarding. I will start by presenting some general economic considerations, address 
some aspects of Indonesia's trade policy, highlight some specific topics in relation to our 
Organization's agreements and conclude with some final remarks.  
General economic considerations  
3.5.  Indonesia is a geographic delight comprising 17,000 islands in an area of approximately 
2 million km2, possessing valuable ocean ecosystems, with enormous potential for the blue economy 
and is strategically located. It has a wide cultural and ethnic diversity, with a population of over 
270 million, half of which is under the age of 30. This diversity and youth are an invaluable asset to 
Indonesia, but also present it with formidable challenge s. Its economic size, population and great 
potential require it to be increasingly involved in global affairs.  
3.6.  The current health emergency has led to the first economic recession in Indonesia since 1998.  
The continued economic expansion reflects prudent macroeconomic management and moderate 
exposure to external risks. Reasonable levels of fiscal deficit and debt have enabled significant 
resources to be used to mitigate economic and social impacts. The recent quarter saw a recovery in 
economic activity, although its sustainability and strength will be at the mercy of the pandemic. As 
mentioned by the Vice Minister,  during the current review period, Indonesia registered a GDP growth 
rate of 5.1%. While it is below the previous review's rate of 5.9%, it is two points higher than the 
global average of 3.1% and above the average of 4.9% of the Association of Southeast A sian Nations 
(ASEAN).  
3.7.  Prior to the current crisis, from 2000 onwards Indonesia significantly decreased the 
unemployment level, reduced by half the population living in poverty, and recorded a significant 
decline in inequality, as reflected in the lowered G ini coefficient. While these trends are certainly 
encouraging, the extent to which the current health crisis pushes them back remains to be seen and 
it will be interesting for Members to hear Indonesia's plans to get back on course.  
3.8.  It should be noted that , compared with many other similar economies, Indonesia has a larger 
share of state -owned enterprises in a wide range of sectors of economic activity, a coordinated 
economic governance structure and a structured economic planning system with concrete objec tives 
and a medium and long -term outlook.  
3.9.  Some of these objectives are certainly inward -looking, such as supporting food sovereignty, 
energy sovereignty and developing domestic industry and services. There are also noteworthy 
proposals for economic interna tionalization which involve stepping up international trade 
commitments. Against this backdrop of coexisting inward -looking and outward -looking objectives, 
the trade policy has to contend with diverse public and private domestic interests in a young and 
vibrant democracy. It is worth mentioning this co -existence in order to contextualize some of the 
concerns raised by certain Members.  
3.10.   It should be noted that much of the economic expansion during the review period stemmed 
from the growth of the domestic mark et, through consumption and investment. The share of trade 
in goods and services in GDP declined during the review period, from 48.6% in 2013 to 37.3% 
in 2019, a reduction of almost 11 percentage points. A greater insertion of Indonesia into the global 
trade and investment channels could perhaps allow it to grow at even higher rates. It will be WT/TPR/M/401  • Indonesia  
 
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  interesting to see the impact of Indonesia's recent efforts in this regard at the next Trade Policy 
Review.  
Trade policy aspects and WTO -specific matters  
3.11.   On trade policy aspects and WTO -specific matters, no one can accuse the Government of 
Indonesia of being passive: on the contrary, it has been very active. It must be recognized that, 
during the review period, Indonesia implemented a number of reforms and measures and changes 
to the regulatory framework that have directly and indirectly helped update its trade and investment 
policies. While many areas have already been mentioned, I would like to highlight, without being 
exhaustive: the significant progress made in the fight against corruption; mention was made of 
changes to the investment regime; trade facilitation; certain aspects of government procurement; 
the area of intellectual property; phytosanitary matters; modernizing the system of standards; 
legislation on electronic commerce (e -commerce) and certain areas of competition. It is also worth 
highlighting the investment in infrastructure, the fibre optic network, and Indonesia's medium -term 
objective of establishing itself as a logistics hub in the regi on. 
3.12.   In particular, I would like to highlight the relaxation of restrictions on foreign direct investment 
in several areas, such as telecommunications, transport, tourism,  and distribution services. In 
addition, Indonesia has improved its position in the Wo rld Bank's ease of doing business index, from 
128 to 73 during the review period.  
3.13.   Furthermore, Indonesia has been very active in expanding the network of bilateral and 
regional agreements, as mentioned by the Vice Minister, who listed the agreements that h ave 
already been concluded and those that are under way, noting, in particular, the recent agreement 
of the Regional Comprehensive Economic Partnership (RCEP). I would simply like to reiterate that 
Indonesia has a particularly active international agenda w ith regard to the expansion of its network 
of agreements and has also been a highly active participant in the Group of 20 (G20) and Asia -Pacific 
Economic Cooperation (APEC).  
3.14.   In the multilateral sphere of trade, Indonesia has shown strong commitment to the system, 
as evidenced by the successful organization of the Ninth Ministerial Conference (MC9) in 2013.  
3.15.   Indonesia has been an important player in the agriculture negotiations as the coordinator of 
the Group of 33 (G33) and actively participates in the Joint  Initiatives on e -commerce, domestic 
regulation of services, trade and gender and investment facilitation. Given the considerable size of 
its micro, small and medium -sized enterprises (MSME) sector and its experience in strengthening it, 
Indonesia would be  a valuable participant in the Joint Initiative on MSMES and should therefore 
reconsider its inclusion.  
3.16.   Despite there being outstanding notifications on trade -related investment measures 
and quantitative restrictions, during the review period, Indonesia su bmitted and brought itself 
up-to-date with a number of notifications. This trend of compliance with transparency will doubtless  
continue.  
3.17.   Nonetheless, while recognizing all the work of the Government of Indonesia to modernize 
aspects directly and indirectl y affecting trade, it is important to note that, from the Secretariat's 
report and the 890 questions posed by Members, there appear to be some trade complications that 
surely require attention. Some of them are at the border and others beyond the border. S ome are 
apparently easy to address, such as the publication of documentation in the local language only, 
while others relate to measures whose implementation hampers or raises the cost of trade, while 
others relate to questions about the policies themselve s. 
3.18.   In a very general way, I should like to refer to the reported increase in the tariff applied to 
certain agricultural and industrial products, in contrast to the trend in other ASEAN countries. In 
addition, there is still insufficient transparency and co mplexity with regard to the granting of import 
licences, duplication and onerousness regarding certain phytosanitary checks, prohibitions and 
quantitative restrictions on certain products, local content requirements on government procurement 
and the develo pment strategy of certain industries, a decline in domestic standards aligned with 
international standards, the obligation on the patent holder to manufacture products in Indonesia, 
and the need to strengthen effective protection of intellectual property r ights.  WT/TPR/M/401  • Indonesia  
 
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  3.19.   The questions sent by the Members reflect an interest in Indonesia's increased transparency 
in relation to these measures, the grounds for its quantitative restrictions, their consistency with 
WTO commitments and the prospect of their reversal.  
3.20.   As far as trade remedies are concerned, the use of anti -dumping measures continues with 
increased measures in force, principally with regard to steel products. The application of safeguard 
measures has fallen, although Indonesia remains a major user of these m easures, chiefly for steel 
products. Some Members have expressed interest in discovering the rationale for the use of such 
measures and whether Indonesia plans to buck this trend in the future.  
3.21.   While acknowledging the progress made in liberalizing more se ctors to foreign direct 
investment, some Members consider that there is still room to put Indonesia on the same footing as 
other economies in the region, particularly in the financial and other services sectors. Members' 
questions relate to possible future  developments.  
3.22.   While there has been a reduction in the number of state -owned enterprises, some Members 
see further rationalization as an area of opportunity, as reflected in a number of the questions, in 
which they express their interest in learning about Indonesia's short and medium -term plans in this 
area (they wish to know about the timelines and sectors). The Secretariat's report also raises 
concerns about the operation of parastatals, in view of the subsidies they receive, their undesirable 
effect on c ompetition, the disincentive to private participation and their improvable efficiency.  
3.23.   While progress has been made in some aspects of the framework governing competition , the 
competent authority lacks instruments and resources for its effective applicatio n. In short, the 
institution is toothless.  
3.24.   The questions received from Members specifically address their concerns and will likely be 
supplemented by the contributions we will hear during the productive exchange on this review.  
Concluding remarks  
3.25.   By way of  concluding remarks and, recognizing the Vice Minister's point that the recently 
enacted law contains elements that could make a difference in many respects to the issues Members 
have raised, I would like to emphasize the inevitable tension that arises fro m the coexistence of 
inward -looking growth policies and a trade policy agenda involving growing international 
commitments, which is all the more apparent in a review such as this one. Striking a balance between 
these two dynamics will certainly be a challe nge, and it will be important to hear the Indonesian 
authorities' views on this matter. It is clear that policy space narrows as more international 
commitments are made.  
3.26.   Furthermore, the size of Indonesia's domestic market is certainly attractive to foreig n 
investment. In fact, such investment is mainly made in order to participate in the market and not to 
establish a manufacturing and export hub, it being possible to do both. It will be interesting to hear 
what regulation of foreign direct investment, what  aspects of trade policy and what elements of 
country cost deter investors from such large -scale ventures. The search for efficiencies does not 
appear to be a major motivator for foreign direct investment inflows.  
3.27.   It is foreseeable that Indonesia's economy , with greater integration into trade and investment 
flows and an improved business environment, is likely to grow even more dynamically in the future.  
3.28.   In conclusion, I would like to stress that, before the current economic adjustment, thanks to 
pragmatic and prudent management Indonesia's economy enjoyed a sustained period of economic 
expansion with an annual average of more than 5% and will surely regain momentum once the crisis 
is over.  
3.29.   I am convinced that the discussions during this review will be highl y productive and will serve 
the purpose for which such reviews were established. I would once again like to express my gratitude 
for being considered as a discussant; it has certainly been enriching.  
3.30.   I wish Indonesia every success during its seventh Trade Policy Review. Thank you very much, 
Mr. Chair .  WT/TPR/M/401  • Indonesia  
 
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  4  STATEMENTS BY MEMBERS  
BRAZIL  
4.1.  Let me start by welcoming the Indonesian delegation, headed by Jerry Adhitya Ksatria 
Sambuaga , vice -minister for Trade, and by thanking the Indonesian Mission in Geneva, and 
especially Ambassadors Grata Endah Werdanigtyas and Syamsul Bahri Siregar, for its efforts and 
contributions to this important exercise.  
4.2.  I would also like to express our since re appreciation to the Indonesian G overnment and the 
WTO Secretariat for their reports, as well as to the discussant, Ambassador Ángel  Villalobos 
Rodríguez  (Mexico), for his insightful observations, and you, Chair, for your opening comments.  
4.3.  Brazil values all WTO functions, including monitoring and transparency, and has been working 
tirelessly to strengthen them. Bearing in mind that only with reliable and up -to-date information on 
policies and practices adopted in different parts of the world, gover nments and private sectors can 
make their best decisions, the current pandemic has reinforced the perception on the importance of 
transparency. It is in this conte xt that I welcome this seventh Trade Policy R eview of Indonesia.  
4.4.  I would like to start by hig hlighting Indonesia's recent economic results. Not only did 
Indonesia's economy grow at a rate of 5% per year between 2015 and 2019, but there was a 
significant increase in the number of jobs and in its GDP per capita. In spite of uncertainties both in 
the regional and global economic landscapes, Indonesia managed not only to steadily grow, but also 
to control inflation and to reduce income inequality.  
4.5.  I would also like to note that Indonesia has improved its commitments to the multilateral trade 
regime, th rough the ratification of the Trade Facilitation Agreement and various instruments in the 
field of intellectual property, as well as its efforts to comply with notification requirements in different 
areas and its active participation in fisheries negotiati ons. 
4.6.  As a Member committed to promote trade facilitation, Brazil encourages Indonesia to continue 
to increase the implementation of its commitments in the different categories of the TFA.  
4.7.  As a supporter of the Dispute Settlement System, Brazil urges Indon esia not to forestall the 
smooth running of procedures, particularly of DS 484 on Measures Concerning the Importation of 
Chicken Meat and Chicken Products, which would frustrate Members' rights and obligations under 
the covered agreements and would not con tribute to the prompt settlement of disputes, during the 
current exceptional and unforeseen circumstances caused by the inoperability of the Appellate Body.  
4.8.  As a partner in agricultural negotiations, Brazil draws special attention to the agendas of 
domesti c support, in which Indonesia acts as a facilitator, and market access, since Indonesia still 
maintains high average MFN tariffs for agricultural products, significant tariff peak s and several 
complex tariffs.  
4.9.  As a Member interested in promoting a more ope n and fair multilateral trading system, Brazil 
recalls that the adoption of TBT and SPS measures must take place in a manner that is compatible 
with multilateral disciplines.  
4.10.   Finally, as a proponent of the WTO reform process, Brazil invites Indonesia to a ctively engage 
in discussions on the future of the Organization, based on negotiating mandates that reflect the 
current international trade landscape.  
4.11.   Brazil and Indonesia, strategic partners since 2008, have two of the largest populations in the 
world and  we are proud of our multi -ethnic character. We have large territories, with important 
biodiversity and natural resources. We are major agricultural exporters, members of the Cairns 
Group at the WTO. We are two emerging economies, members of the G20. We ar e the largest 
economies, respectively, of MERCOSUR and ASEAN and we value our regional integration processes. 
We are among the major democracies in the world and we went through processes of transition and 
democratic consolidation in the past decades.  WT/TPR/M/401  • Indonesia  
 
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  4.12.   Brazil and Indonesia also share common challenges: promoting development; reducing social 
and regional disparities; strengthening our integration in global and regional value chains; and 
completing our digital transformation.  
4.13.   Our bilateral trade is still far below its potential. In 2019, trade betwee n our two countries 
stood at USD  3 billion, significantly less than the USD 4 billion trade registered in 2014. Despite our 
position as the two largest economies in our regions, Indonesia is only Brazil's fifth tra ding partner 
in ASEAN.  
4.14.   Nevertheless, the future prospects are encouraging. Our trade is already based on added 
value products both from the manufacturing and the agribusiness sectors. In spite of the pandemic, 
the trade flow is expected to grow in 2020. Al so, MERCOSUR and Indonesia are holding exploratory 
talks that may result in future negotiations for a trade agreement.  
4.15.   Brazil is very interested in understanding the already existing achievements and limitations 
of the integration of the Indonesian economy  into regional and global value chains and future 
prospects. We also follow closely the conclusion of the negotiations of the Regional Comprehensive 
Economic Partnership and the impacts that it may have on the multilateral trading system and on 
the regiona l and global value chains.  
4.16.   Brazil thanks Indonesia for the written replies to our questions, which comprises some issues 
I touched upon today, such as dispute settlement, regional and global value chains, and the RCEP. 
They were forwarded to our capital fo r examination and follow -up. 
4.17.   We wish Indonesia a successful Trade Policy Review.  
ARGENTINA  
4.18.   We would like to join other Members in welcoming the delegation of Indonesia and the Vice 
Minister of Trade of Indonesia, H.E. Mr Jerry Adhitya Ksatria Sambuaga. We also convey our 
greetings and express our appreciation of the work of the Permanent Representative of Indonesia 
to the WTO.  
4.19.   We express our gratitude for the reports prepared by Indonesia and the Secretariat, which 
have enabled us to deepen our knowledge of  this Member’s trade policies.  
4.20.   Argentina and Indonesia established diplomatic relations in 1956 and since then have been 
developing strong and fruitful links. On the trade front, Argentina exports soybean meal, wheat, 
maize  and cotton, not carded or combed, to Indonesia. We import footwear, machinery, electrical 
equipment, rubber and mechanical appliances from Indonesia.  
4.21.   Argentina is pleased to note that, since its last Trade Policy Review, Indonesia has experienced 
consider able economic growth, reaching an annual growth rate of around 5% between 2013 and 
2019. The reduction in unemployment, which stood at around 5% in 2019, is similarly commendable.  
4.22.   It is also worth mentioning Indonesia's efforts to liberalize and simplify i ts foreign direct 
investment (FDI) regime. In this regard, we should like to highlight the elimination of restrictions on 
participation in key sectors such as energy, health, trade and tourism. While there are still a number 
of sectors in the Indonesian ec onomy that remain closed to FDI, we believe that these efforts are 
moving in the right direction.  
4.23.   We note that there is an area of Indonesia's trade policy that has achieved significant 
progress: trade facilitation. In addition to ratifying the Trade Facil itation Agreement (TFA) in 2017, 
Indonesia has taken a number of measures to promote trade flows. We would like to highlight two 
of them: the launch of the Authorized Economic Operator programme and the integration of the 
Single Risk Management system into  the Single Window platform.  
4.24.   Despite these achievements, we believe that there is still room for manoeuvre to continue 
moving forward in other areas. With regard to tariffs, we are concerned about the existence of peaks 
for agricultural products. While not  directly linked to agriculture, we have noted that the simple 
average of Most Favoured Nation (MFN) tariffs increased by more than two points from 2012 to date.  WT/TPR/M/401  • Indonesia  
 
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  4.25.   In the context of this review, we submitted questions to Indonesia related to, inter alia, its  
Ministerial Strategic Plan on Gender Equality and the Empowerment of Women and the National 
Movement of Small and Medium -Sized Enterprises (SMEs). Both issues are of great interest to my 
country. We appreciate the replies provided by Indonesia, which will  be duly analysed by my capital.  
4.26.   In closing, we would like to express our appreciation for this new opportunity to address 
Indonesia's trade practices.  
4.27.   We wish its authorities a successful conclusion to this Review.  
CANADA  
4.28.   Canada is pleased to participate in Indonesia’s seventh Trade Policy Review. We would like to 
express o ur appreciation to Indonesia’s G overnment and the Secretariat f or their high -quality 
reports.  
4.29.   First and foremost, Canada would like to acknowledge Indonesia’s multilateral ef forts to 
minimize the negative impacts of the COVID -19 pandemic on global supply chains and to ensure the 
free flow of essential goods. This includes the endorsement of the Cairns Group June 17 COVID -19 
Initiative aimed at protecting global food security t hrough open trade, and the May 5 Statement on 
COVID -19 by APEC Ministers Responsible for Trade.  
4.30.   The COVID -19 pandemic has underscored the necessity of open and predictable trade, and 
expanding international trade and investment partnerships. Canada is pro ud to stand with Indonesia 
as a friend and as we work towards an inclusive and sustainable global economic recovery.  
4.31.   I would now like to highlight areas where Indonesia is making significant progress.  
4.32.   Firstly, Canada welcomes Indonesia’s pursuit of more op en and inclusive trade. We welcome 
Indonesia’s acceptance of the Trade Facilitation Agreement, its active participation in the Joint 
Statement Initiatives on investment facilitation and e -commerce, and its support for the full 
implementation of the Buenos Aires Declaration on Women’s Economic Empowerment. We 
encourage Indonesia to participate actively in the implementation of the 2nd phase of the Buenos 
Aires Declaration.  
4.33.   Secondly, Canada commends Indonesia for its ambitious government reform program, which  
aims to transform Indonesia into a developed country by 2025, and into the fifth largest economy 
in the world by 2045, through policies focused mainly on attracting foreign investment, as well as 
developing critical infrastructure and human capital.  
4.34.   Thirdly, Canada appreciates Indonesia’s efforts to improve the business environment and 
attract foreign investment, including through the recent Omnibus Job Creation Law. Indonesia should 
ensure that the implementing regulations are designed to deliver the econ omic reforms that inspired 
the Omnibus Law, while maintaining important protections for labour and the environment.  
4.35.   Fourthly, we acknowledge Indonesia’s efforts to improve transparency and address corruption 
through the implementation of a National Strate gy of Corruption Prevention, and by making laws 
and regulations more readily accessible. Although meaningful progress has been made in reducing 
widespread graft, we encourage Indonesia to continue to prioritize the elimination of corruption, 
which can act as a significant deterrent to foreign investment and economic growth.  
4.36.   We also applaud Indonesia's active role in negotiating ambitious trade agreements during the 
review period, which has led to successfully concluding Comprehensive Economic Partnership 
Agreements with the European Free Trade Association States, Australia, and Korea, as well as the 
recently signed Regional Comprehensive Economic Partnership.  
4.37.   Finally, Canada acknowledges Indonesia’s leadership role in ASEAN and it s commitment to 
rules-based trade. Canada would like to thank Indonesia for its work as Canada’s economic country 
coordinator within ASEAN, and in advancing discussions for a possible ASEAN -Canada Free Trade 
Agreement. Canada looks forward to continuing to work with Indonesia to deep en our trade and 
investment ties.   WT/TPR/M/401  • Indonesia  
 
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  4.38.   Along with these promising initiatives and progress, there remain areas that would benefit 
from further focus by Indonesia:  
4.39.   Although Indonesia’s ranking in the World Bank Doing Business Report significantly increased 
over the past years to reach 73rd in 2020, significant challenges remain for companies attempting 
to do business in the country. Further reforms to reduce the cost of doing business and streamline 
the registration process are key to encouraging foreign invest ment.  
4.40.   Canada acknowledges the significant changes made by Indonesia to its mining legal 
framework, as they aim to reinvigorate the mining sector and attract more investment. However, 
efforts to enhance regulatory certainty and reduce investment risk are s till necessary. We encourage 
Indonesia to continue pursuing comprehensive measures to attract investment, including by 
reducing the number of business activities reserved for local entrepreneurs.  
4.41.   On agriculture, we encourage Indonesia to work with trade p artners to address concerns 
raised about the implementation of new halal certification and labeling requirements.  
4.42.   Canada welcomes Indonesia’s very good notifications record, but notes shortfalls regarding 
customs valuation, import licensing and quantitativ e restrictions.  
4.43.   Finally, as Indonesia strives to improve different aspects of its economic and market 
environment, we encourage its participation in the Joint Statement Initiatives on services domestic 
regulation and MSMEs.  
4.44.   Canada has submitted written que stions that reflect some of the concerns raised today. We 
look forward to Indonesia’s responses, and wish Indonesia a productive and useful seventh Trade 
Policy Review.  
MEXICO 
4.45.   Mexico warmly welcomes the delegation of Indonesia, led by H.E. Mr Jerry Sambuaga, Vice 
Minister of Trade.  
4.46.   We would also like to take this opportunity to acknowledge the contribution of the Indonesian 
Mission to the work of this Organization. My delegatio n also thanks the WTO Secretariat for preparing 
its report.  
Indonesia's economic development  
4.47.   Mr Chairman, despite the challenges that the global economy has faced, Indonesia has 
continued with sustained economic growth and poverty reduction during the revi ew period, as a 
result of the proper implementation of macroeconomic and structural reforms.   
Trade and domestic policies  
4.48.   Indonesia maintains a tariff regime almost entirely in ad valorem terms, and the number of 
lines subject to specific tariffs declined considerably during this period. However, the level of 
protection, tariff peaks and different tariff rates have increased. We hope that Indonesia will continue 
to work on a simpler tariff regime, as well as with a policy of general tariff reduction.  
4.49.   We ha ve noted the enactment of ambitious draft legislation, including the General Law on Job 
Creation and the General Law on Taxation1, which, as per recent publications in international media, 
have been merged into a single instrument best known as the Omnibu s Law, which is generating 
curiosity both inside and outside Indonesia, in terms of the level of protection of workers' rights and 
environmental issues, among many others. We look forward to more information on this law and 
especially on its potential impa ct on telecommunications, investment and ease of doing business.  
4.50.   Regarding telecommunications, we note that the Government of Indonesia has issued various 
policies and regulations to improve the development and accessibility of infrastructure, mobile 
 
1 Paragraph 2.18 of the Secretariat’s report.  WT/TPR/M/401  • Indonesia  
 
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  broadband penetration, affordability of broadband services, and equita ble distribution of 
infrastructure, ecosystems,  and telecommunication services. These are undoubtedly important 
developments in this area, and we hope to hear about the impact they have had on improving access 
to and development of telecommunication servic es in Indonesia.  
Work of the WTO  
4.51.   In the work of the WTO, we note Indonesia’s presence at the forefront of innovative topics in 
multilateral trade. Its active participation in the joint initiatives on e -commerce, trade and gender 
and investment facilitatio n is clear evidence of this.  
4.52.   With regard to the WTO dispute settlement system, Indonesia is a very active Member, both 
as a complainant and, above all, as a third party. In addition, it is important to note that it has 
shown concern and commitment regardi ng the current situation, supporting the joint proposal 
co-sponsored by 121 WTO Members to launch the Appellate Body vacancy processes, a proposal 
that seeks a solution to the impasse that affects not only the dispute settlement system but also the 
very cr edibility of the multilateral trading system.  
4.53.   We would also like to congratulate Indonesia for the recognition that it gives to its MSMEs and 
the importance it attaches to them as an engine for the economic development of the country. The 
Government has i mplemented a series of programmes, initiatives and regulations aimed at, inter 
alia, improving competitiveness, increasing access to financing and promoting the growth of 
e-commerce. We hope that these measures will lead to positive results that have an im pact on the 
well-being of the population. We therefore consider that Indonesia’s experience would be very useful 
if it decided to participate in the work of the joint initiative on MSMEs.  
Challenges and opportunities  
4.54.   With regard to challenges and opportun ities, Indonesia has high human capital, with more 
than 110 million economically active people, which represents an enviable labour force. However, 
we believe that in order to capitalize on it, it will be necessary to invest in improving the labour 
force’s  skills in more specialized sectors.  
4.55.   Another area that represents a major challenge for Indonesia is the environment because it 
faces problems of large -scale deforestation, forest fires, over -exploitation of marine resources, and 
environmental problems li nked to rapid urbanization and economic development, to mention but a 
few. We are confident that Indonesia will be able to develop a strategy enabling it to meet these 
challenges that affect the well -being of its citizens and the rest of the world.  
4.56.   Other equally significant challenges calling for further work from Indonesia relate to 
infrastructure, improving a complex regulatory environment, reductions to its trade restrictions, high 
State involvement in the country's economic activities, and improving th e uneven distribution of 
resources among its regions.  
Conclusion  
4.57.   In conclusion, Mr Chairman, we believe that Indonesia has the potential to maintain its 
economic growth, as well as to continue playing an important role in international trade, and we are 
sure that Indonesia will be able to face its challenges.  
4.58.   We thank Indonesia for the replies provided to the questions posed by my delegation, and 
these will be examined in detail. Lastly, we wish Indonesia every success in this Review.  
REPUBLIC  OF KOREA   
4.59.   I would like to extend a warm welcome to the delegates who are in G eneva , as well as in 
Jakarta for the 7th  Trade Policy Review of Indonesia. I would like to especially thank Vice Minister 
Jerry Adhitya Ksatria Sambuaga  for his comprehensive presentation.  
4.60.   My special appreciation also goes to Ambassador Angel Villalobos R odriguez (Mexico) for his 
contribution as a discuss ant, and I would like to thank Ambas sador Grata Endah Werdaningtyas , and WT/TPR/M/401  • Indonesia  
 
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  Ambassador Syamsul Bahri Siregar,  Permanent Representative of Indonesia to the WTO, and his 
team for their hard work.  
4.61.   Korea is plea sed to note that the Indonesian economy grew at an annual average rate of 5.1% 
between 2013 and 2019.  
4.62.   Korea also takes note that Indonesia has made efforts to un dertake the update of its 
trade -related and investment policies and regulatory reform, in part icular the Economic Policy 
Packages (EPP) between 2015 and 2018.  
4.63.   However, the Indonesian economy may show a downward trend between 2020 and 2024. The 
country’s economic difficulties could be exacerbated by a number of prevailing uncertainties, 
including th e price fall of Indonesia export commodities and the trade war, as well as the adverse 
impact of the COVID -19 pandemic.  
4.64.   To mitigate these challenges, the Indonesian government needs to continue to implement 
productivity -enhancing structural reforms to enh ance total factor productivity, and also address 
issues relating to regulatory uncertainty, the investment climate, and so on.  
4.65.   In terms of international fora, it is welcomed that Indonesia has made an improvement in 
commitments by ratifying the Trade Faci litation Agreement (TFA) in 2017 through the multilateral 
trading system, and has strengthened regional economic integration ties through several ASEAN 
agreements.  
4.66.   The bilateral economic relationsh ip between Korea and Indonesia has been further 
strengthene d with  the conclusion of last year’s Korea -Indonesia CEPA (which was finalized in 
November 2019 and expected to be signed in December this year).  
4.67.   In particular, Korea would like to rec ognize that the two countries’ scope of mutual cooperation 
has been reinforced not only in   opening the goods and services market but also in various areas 
such as industry, energy, culture, and public health.  
4.68.   Taking this opportunity, I would like to reiterate some points to which we look forward to 
receiving Indonesia’s p roductive and positive responses.  
4.69.   First, in regard to the implementatio n of prior import verification  requirements, local content 
requirements, and the SNI (Indonesia National Standard), attention is required to prevent trade -
restrictive impacts.  
4.70.   We would  like to remind that a more prudent approach will be needed for the operation of the 
safeguard system hereafter, since Indonesia is one of the countries wi th the most frequent safeguard 
investigations and measures.  
4.71.   Moreover, Korea is aware that foreign in surance and securities firms in Indonesia are facing 
difficulties due to local regulations (such as the approval process and fee, qualification requirements, 
and limitation on the share that can be owned by foreign capital).   
4.72.   In this regard, Korea would l ike to call for the Indonesian G overnment’s interest in this matter 
and request that relevant laws and procedures are improved in a more business -friendly way.   
4.73.   Korea would like to once again highlight Indonesia’s efforts to contribute to a more op en, 
transparent, and efficient overall trading environment. Let me conclude by expressing my 
appreciation once again to the delegation of Indonesia for its hard work and wishing the delegation 
a successful TPR.  
AUSTRALIA  
4.74.   Australia congratulates Indonesia on its economic growth since its 2013 Trade Policy R eview, 
with Indonesia now the world’s seventh largest economy as measured by purchasing pow er parity. 
However, we recogniz e Indonesia is facing a major challenge from COVID -19, and that it is vital 
Indone sia emerges from this crisis stable and resilient.  WT/TPR/M/401  • Indonesia  
 
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  4.75.   Australia and Indonesia share a strong commitment to increasing stability in the Indo -Pacific 
region, and to economic cooperation. We welcome the recent signing of the Regional Comprehensive 
Economic Part nership, which will advance these shared goals.  
4.76.   Australia also welcomed the entry into force of the Indonesia -Australia Comprehensive 
Economic Partnership Agreement (IA -CEPA) on 5 July 2020. This step signals to the region and the 
world that — even in the se challenging times — both Australia and Indonesia are committed to free 
and open trade. Australian and Indonesian officials have been working closely on implementation of 
IA-CEPA, and businesses in both countries are now benefiting as trade is flowing un der the 
Agreement. We will need sustained commitment in both countries over the coming decade to ensure 
the benef its of IA -CEPA are fully realize d. 
4.77.   Australia looks forward to the commencement of the IA -CEPA Economic Cooperation Program 
before the end of th e year. The program will support technical assistance and capacity building 
across a range of trade related areas to strengthen commercial links and help stimulate increased 
two-way trade and investment for the mutual benefit of Australia and Indonesia.  
4.78.   Australia’s trade and economic relationship with Indonesia has grown nearly 15 per cent since 
the 2013 policy review, largely driven by growth in service imports to Indonesia. However, COVID 
has negatively impacted our services trade relationship - most nota bly tourism and education travel 
- and this may take some time to recover.  
4.79.   In 2019, total two -way trade in goods and services between Australia and Indonesia was 
worth A$17.7 billion, making Indonesia Australia’s 13th largest trading partner. We are please d that 
key Australian goods exports, such as live animals, wheat, and iron ore, are used as inputs in 
Indonesia’s domestic manufacturing sector; and that Australia in turn imports manufactured goods 
from Indonesia such as televisions, clothing and footwear , and furniture.  
4.80.   According to the Australian Bureau of Statistics, total Australian investment stock in Indonesia 
was worth A$8.16 billion at the end of 2019. Total Indonesian investment in Australia for this period 
was just A$0.88 billion. We understand there are likely considerable investment flows via third 
countries that cannot be separately identified. However, changes to Indonesia’s resource ownership 
laws saw a A$5 billion fall in Australian investment when Australia resource companies were forced 
to divest ownership in the Grasberg and other mines in Indonesia. It appears this law is deterring 
further investment in Indonesia by Australian resource companies.  
4.81.   Australia acknowledges Indonesia has updated its investment policies and has undertaken 
institutional and regulatory reform initiatives. Australia has an interest in expanding its foreign direct 
investment in Indonesia and  would welcome further liberaliz ation to improve the investment 
environment, including in the mining sector. We also look forw ard to further details on the 
implementation of the Omnibus Law on Job Creation, which came into force on 2 November 2020.  
4.82.   To achieve the full potential of Australia and Indonesia’s trade and investment relationship, 
we will need to overcome certain challe nges such as regulatory uncertainties. We encourage 
Indonesia to continue economic and trade policy reform, to pave the way for benefits flowing from 
productivity gains and increased competitiveness. Australia notes Indonesia’s improved position on 
the Eas e of Doing Business ranking and is pleased to continue supporting Indonesia’s reform 
objectives through our development cooperation program.  
4.83.   Australia and Indonesia have continued to engage in good faith to resolve the WTO dispute 
concerning anti-dumping measures applying to exports of A4 copy paper from Indonesia.  
4.84.   Australia remains concerned that Indonesia maintains measures that restrict the import of a 
range of agricultural products, including regulatory barriers such as delays in issuing i mport licences. 
This has negative consequences for Indonesian consumers, particularly low -income consumers, with 
less affordable and lower quality food products. COVID -19 has exacerbated this issue with food 
shortages and inflated prices.  
4.85.   To demonstrate I ndonesia’s commitment to food security and free and open trade, we urge 
Indonesia to commit to the elimination of trade restrictive regulations and other non -tariff barriers.  WT/TPR/M/401  • Indonesia  
 
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  4.86.   Australia notes Indonesia’s updates on the Halal Product Assurance Law and its i mplementing 
regulation. We look forward to continuing our collaborative work on implementation to ensure Halal 
requirements do not unnecessarily impede exports to Indonesia and that the trade in Halal products 
is a growth area for our two countries.  
4.87.   Austr alia acknowledges Indonesia’s strategic aim to increase Indonesia’s competitiveness on 
Intellectual Property protection; and urges Indonesia to continue to improve IP protection and 
enforcement to this end.  
4.88.   Australia welcomes Indonesia’s active engagement  in the WTO and its clear support for the 
role of the Organization in promoting trade, trade liberaliz ation, and inclusive economic 
development. In the period covered by this review, Indonesia has ratified the Trade Facilitation 
Agreement and is well on it s way to fully implement all commitments – including through establishing 
the National Committee on Trade Facilitation.   
4.89.   We welcome Indonesia’s constructive engagement on WTO consideration of the e -commerce 
JSI. We also greatly value Indonesia, as a fello w Cairns Group member, supporting the development 
of a Framework for Negotiations on Domestic Support in agriculture and its active outreach to other 
ASEAN Members.   
4.90.   Australia looks forward to Indonesia’s G20 Presidency in 2022 and we are pleased to reaff irm 
our commitment to provide a secondee to Indonesia to support its Presidency year.  
PERU 
4.91.   The Peruvian delegation presents its compliments to all present, and extends a warm welcome 
to the delegation of Indonesia, especially H.E. Mr Jerry Adhitya Ksatria Sambuaga, Vice Minister of 
Trade, and H.E. Ambassador Grata Endah Werdaningtyas, Deputy Permanent Representative of 
Indonesia to the WTO.  
4.92.   We also thank H.E. Ambassador Ángel Villalobos of Mexico, for his insightful comments as 
discussant. Furthermore, we g reatly appreciate your dedication to the work of this Body, 
Mr Chairman, as well as the work undertaken by the Secretariat for this review.  
4.93.   Firstly, Peru would like to highlight the strength and dynamism of Indonesia's economic 
growth during the period un der review, which has remained at around 5% per year, despite the 
international economic instability experienced in recent years. Along the same lines, the indications 
in the WTO Secretariat’s report are significant in the sense that Indonesian economic gr owth during 
the period under review has been accompanied by a decrease in unemployment, controlled inflation, 
and a reduction in poverty and inequality. Peru welcomes all these developments.  
4.94.   In the area of trade, what stands out are the steps taken by Indo nesia in trade facilitation, 
such as the implementation of an Authorized Economic Operator programme and its participation in 
the Single Window system of the Association of Southeast Asian Nations (ASEAN). By contrast, the 
WTO Secretariat refers to Indones ia's imposition of restrictions, prohibitions and import licences, 
which, according to the Secretariat's report, are due, inter alia, to the protection and development 
of domestic industries. These measures could affect the growth of international trade, t he 
competitiveness of Indonesian products that require the importation of inputs, and the range of 
choice for local consumers. Along the same lines, the mention in the Secretariat’s report of 
Indonesia's implementation of tariffs in excess of its WTO bound  rates is a source of concern and 
might warrant some comment from the Indonesian delegation.  
4.95.   In the area of trade integration, Indonesia's participation in the recently concluded Regional 
Comprehensive Economic Partnership (RCEP) is noteworthy. We hope th at this instrument will 
promote greater trade and investment flows in one of the regions with the strongest growth and 
economic development prospects in the world.  
4.96.   With regard to  bilateral trade, trade between Peru and Indonesia fluctuated around 
US$ 300 million during the review period, with US D 233 million recorded in 2019. During the entire 
period, a significant trade surplus in favour of Indonesia could be seen. Peru believes that there is WT/TPR/M/401  • Indonesia  
 
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  potential for further development of our trade relations, and so it would be of mutual benefit if the 
negotiations for a bilateral trade agreement resume as soon as possible.  
4.97.   Another important aspect of our economic and trade relationship is to be found in the 
Asia-Pacific Economic Cooperation forum (APEC), where important initiatives have been undertaken 
throughout this year to facilitate the flow of goods in the context of the ongoing pandemic and to 
highlight our support for improving the f unctioning of the WTO through the ongoing discussions on 
the reform of the Organization.  
4.98.   With regard to Peru's questions in this review, my delegation wishes to thank Indonesia in 
advance and continues to look forward to its responses, which will provide us with a more thorough 
understanding of the policies of the Member under review that support women's economic 
empowerment, especially through trade.  
4.99.   Having said this, I wish to conclude this statement by wishing Indonesia a successful Trade 
Policy Review.  
CHILE  
4.100.   We convey our greetings to the delegation of Indonesia, led by H.E. Mr Jerry Adhitya Ksatria 
Sambuaga, Vice Minister of Trade, and congratulate Indonesia on once again being part of this 
necessary exercise in transparency.  
4.101.   Warm greetings also to the  representatives of Indonesia, Ambassadors Ms Grata Endah 
Werdaningtyas and Mr Syamsul Bahri Siregar, as well as the excellent team of this Mission to the 
WTO, with whom we had the pleasure to work a few weeks ago in the preparation of the presentation 
– to the Committee on Regional Trade Agreements – on the Comprehensive Economic Partnership 
Agreement (CEPA) between Chile and Indonesia. We would also like to express our gratitude for the 
presentation made by the representative of Mexico, Ambassador Mr Ánge l Villalobos Rodríguez, as 
well as for the excellent work done by the Secretariat and the Government of Indonesia in preparing 
their respective reports.  
4.102.   Chile and Indonesia established diplomatic relations in 1965. Since then, important 
agreements have bee n reached with Indonesia in the fields of economic and technical cooperation, 
fisheries and telecommunications, among others.  
4.103.   At the multilateral level, there is convergence on the most diverse topics on the international 
agenda. Chile and Indonesia share views in various international forums and both nations agree on 
fighting poverty by means of sustainable development programmes, with the focus on people and 
through the liberalization of world trade. Another area of convergence is also the common interest  
in strengthening the multilateral system.  
4.104.   Both countries play a dynamic role in the context of the Pacific Rim and promote connections 
for political, economic, cultural and commercial integration in the region, particularly through the 
framework provided by Asia -Pacific Economic Cooperation (APEC) and the Forum for East Asia Latin 
America Cooperation  (FEALAC) . 
4.105.   During the period under review in Indonesia, the strong growth and resilience shown by the 
economy of this country is conspicuous. In this connectio n, we note the positive evolution of its 
global competitiveness supported by its macroeconomic stability and the high rate of adoption of 
technology, among other factors. Regarding its response to the COVID -19 pandemic, an interesting 
aspect is the adoptio n of three temporary fiscal stimulus packages, including trade -related measures 
and monetary policy measures.  
4.106.   With regard to  the reforms undertaken by Indonesia during this period, we take particular 
note of those related to trade, especially those concerning incentives for the development of MSMEs. 
We also highlight Indonesia’s efforts to liberalize and simplify its FDI regime  in a number of areas, 
as well as the updating of its trade and investment policies, and reforms at the institutional and 
regulatory levels in areas such as transparency, anti -corruption, investment promotion, and 
settlement of economic disputes.  WT/TPR/M/401  • Indonesia  
 
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  4.107.   On the ot her hand, we understand that there is still room for progress in areas such as 
Indonesia’s relatively low innovation capacity, labour force skills, moderate economic exposure to 
international trade, and harmonization of its provisions in the area of bilate ral investment 
agreements.  
4.108.   Regarding trade facilitation, we welcome Indonesia’s ratification of the respective Agreement 
and note the series of measures it has taken in this area such as the launch of the Authorized 
Economic Operator programme and the Nati onal Single Window platform, among others.  
4.109.   In addition, a positive aspect that we noted is that one of the objectives of Indonesia's 
Medium -Term National Development Plan, for achieving economic expansion in the 2020 -2024 
period, is to increase investment.  This includes encouraging private (foreign and domestic) 
investment through deregulation of investment procedures and synchronization and harmonization 
of licensing regulations. It will therefore be important to discover how the new economic reform 
legislation – the “Omnibus Bill” – aligns with the aforementioned objective of increasing private 
investment.  
4.110.   On the bilateral front, the economic and trade relationship between Chile and Indonesia has 
recently been reinforced by the signing of the aforementione d Comprehensive Economic Partnership 
Agreement, which came into force in 2019. This Agreement is a step forward for the bilateral 
relationship between Chile and Indonesia, enabling Chile to consolidate its strategy to become a 
bridge for the Asia -Pacific r egion and to access the largest market in South -East Asia. For Indonesia, 
it is the first such agreement with a Latin American country.  
4.111.   In terms of total bilateral trade, this amounted to US D 319 million during 2019, of which 
USD 128 million corresponded t o exports from Chile, mainly copper, other minerals and fresh grapes. 
Meanwhile, imports (CIF) from Indonesia amounted to US D 188 million, especially footwear, fresh 
seaweed, and automobiles. It should be pointed out that total bilateral trade has experien ced highs 
and lows since 2014, and so we hope that the Comprehensive Economic Partnership Agreement will 
allow us to resume the path of trade growth between our two countries. In this regard, it is worth 
mentioning that, pursuant to the evolutionary clause  established in that Agreement, Chile is 
interested in initiating negotiations on expanding the Agreement, including a chapter on cross -border 
trade in services, so as to diversify bilateral trade.  
4.112.   With regard to technical barriers to trade, on the basis o f Regulation No. 39 (“Horticultural 
Product Import Recommendation”), Chile and several other countries have indicated to the 
Indonesian authority their concern about the refusal to authorize import licences for countries that 
already had safety recognition . In this regard, although the Ministry of Agriculture of Indonesia 
granted recommendations for the importation of Chilean horticultural products to 22 enterprises in 
that country, the Government of Chile maintains its interest in having mechanisms to ensu re 
expeditious delivery of the recommendations and import licences required for the following products: 
table grapes, kiwifruit, cherries, pears, blueberries, citrus fruit, avocados, salmon, oats, wines, 
juices/concentrates, walnuts, quinoa, raisins, froze n blueberries and seafood.  
4.113.   In addition, as regards the loosening of sanitary restrictions, Chile has indicated its wish to 
its counterpart Indonesia to complete the process of phytosanitary evaluation of products such as 
walnuts (in shell and shelled), por k and dairy products. On the other hand, as regards halal 
certification, the Government of Chile would like to be able to clarify the steps in the cooperation 
process for ensuring the guarantee of halal products, sharing information on the successive stage s 
for signing the necessary Memorandum of Understanding.  
4.114.   For this review, Chile raised 20 questions covering a number of topics, including: tariffs and 
safeguards; sanitary and phytosanitary measures; fisheries; financial services; banking services; 
and ma ritime transport. These are of interest to our country and seek to improve the bilateral trade 
relationship. In addition to expressing our thanks for the replies provided, we wish Indonesia a 
successful seventh Trade Policy Review.  
UNITED  STATES  
4.115.   The United  States is pleased to welcome Vice Minister of Trade Jerry Sambuaga and the 
other members of the delegation to the Trade Pol icy Review  of Indonesia. We welcome the WT/TPR/M/401  • Indonesia  
 
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  Secretariat and Government r eports and appreciate the opportunity to gain a clearer sense of  the 
changes to Indonesia’s trade and investment policies since its last review in 2013.  
4.116.   Indonesia is an important economic partner of the United States, and we are committed to 
further expanding trade in agriculture and non -agricultural goods, investment , and services through 
our Trade and Investment Framework Agreement.  
4.117.   The United States commends Indonesia for maintaining solid economic growth since its last 
TPR, and we applaud recent institutional and regulatory reform efforts by the  Government. While 
Indonesia has made some improvements to its economic policy, we agree with the Secretariat that 
there is significant scope for broader efforts to simplify complex government regulations, ease 
investment restrictions, increase transparency in policymaking, a nd reduce the effects of SOEs, all 
of which prevent Indonesia from benefiting more fully from global trade.  
4.118.   Seven years ago, during Indonesia’s last TPR, the United States highlighted the troubling 
trends of rising protectionism and increasing barriers to trade and investment in Indonesia.  We are 
encouraged that since then, the Government of Indonesia has undertaken significant and meaningful 
efforts to improve its business and investment climate and to  address some of our concerns. In 
particular, we commen d Indonesia for its efforts to reform its import licensing regimes through the 
recent passage of the Job Creation Omnibus Law; its efforts to liberalize cross -border data flows and 
remove restrictions on the cross -border supply of reinsurance services; and  its easing of foreign 
equity restrictions through the issuance of a rev ised negative investment list. These efforts have 
contributed to Indonesia’s strong economic growth over the years, as Indonesia has benefited 
greatly from its participation in the wor ld economy.  
4.119.   We encourage the Government of Indonesia to continue with its reform efforts and adopt 
policies that further embrace trad e and economic liberalization. Towards that goal, we are hopeful 
that Indonesia will reassess its continued use of local co ntent requirements. As the Secretariat r eport 
notes, there is long -standing and predominately negative evidence of the impact of local content 
requirements on e conomic development and trade. We also hope Indonesia will reconsider its pursuit 
of agricultura l self-sufficiency and associate d import -restricting policies. As the United States has 
noted elsewhere, such policies can have unintended and negative impacts on food security, nutrition, 
and economic opportunity, particularly for a country’s most vulnera ble populations.  In addition, we 
encourage Indonesia to reform trade -impeding policies that run counter to Indonesia’s broader 
reform efforts, such as trading rights limitations, pre -shipment inspection requirements, and export 
restrictions, including tax es and prohibitions.  
4.120.   The United States urges the Government of Indonesia to adopt measures that ensure greater 
transparen cy in its policymaking process.  We respectfully note that trade policy measures in 
Indonesia are routinely issued in final form without  an opportunity for meanin gful stakeholder 
consultation. Such opaque policymaking increases the cost of doing business, injects uncertainty 
into the trade and investment climate, and undermines the positive progress Indonesia has achieved 
in other areas.  Looking ahead, as Indonesia formulates measures to implement significant pieces of 
legislation passed, including its Halal Law and Job Creation Omnibus Law, greater transparency will 
be important.  
4.121.   Lastly, we note that Indonesia is a significant and influential player in global trade and is 
well-integrated into the trading system.  It is a member of the G20 and accounts for just under one 
percen t of global merchandise trade. It is a major agric ultural producer and exporter. In part for 
these reasons, we call on Indonesia to no longer seek special and differential treatment in curren t 
and future WTO negotiations. By taking this step, Indonesia would make a significant contribution 
to ensuring tha t the WTO remains a viable forum for meaningful trade negotiations.  
4.122.   We thank Vice Minister Sambuaga and the rest of the delegation for their attention to our 
questions and concerns. As the largest economy in Southeast Asia and a valued trading partner, th e 
United States stands ready to work in closer cooperation with Indonesia here at the WTO, bilat erally, 
and in ASEAN and APEC.  WT/TPR/M/401  • Indonesia  
 
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  UNITED  KINGDOM  
4.123.   On behalf of the U nited Kingdom (UK) , I am pleased to add my welcome to the delegation 
of Indonesia, led by the Ho nourable Jerry Adhitya Ksatria Sambuaga, V ice Minister of Trade.  I would 
also like to express our appreciation to the Indonesian Government and the WTO Secretariat for 
their insightful reports, and to you Chair and H.E. Ambass ador Villalobos Rodríguez, the  discussant, 
for your efforts to facilitate today’s Trade Policy Review.  
4.124.   The United Kingdom would like to reiterate the importance of the Trade Policy Review as a 
transparency mechanism in monitoring Members’ trade policies, and express our appreciation f or 
Indonesia’s responses to our written questions.  
4.125.   Since its last Trade Policy Review in 2013, Indonesia has taken notable steps to increase its 
engagement in multilateral and regional trade, most recently through participation in and facilitation 
of the Regional Comprehensive Economic Partnership. Indonesia has also been active in enabling 
investment, with the World Bank describing the new Job Creation Law as one of the most important 
pieces of investment reform in decades. Once implemented, we understand  that this has the 
potential to greatly improve the ease of doing business in Indonesia. The UK welcomes the new 
legislation and looks forward to the early issue of the implementing regulations.  
4.126.   Indonesia has made a strong effort to further integrate itsel f into the multilateral trading 
system. The United Kingdom commends Indonesia for having ratified the Trade Facilitation 
Agreement in December 2017 and implemented 88.7% of its commitments to date. We support 
Indonesia’s efforts to implement its remaining TFA commitments by February 2022. The 
establishment of the National Committee on Technical Trade Barriers has allowed Indonesia to 
implement the WTO TBT Agreement effectively, submitting 79 notifications to the TBT Committee in 
the review period, and to ad dress TBT issues. The UK recogniz es Indonesia’s commitment to 
transparency through the submission of WTO notifications.  
4.127.   We are pleased that Indonesia is an Observer to the WTO Government Procurement 
Agreement. The UK strongly supports this Agreement, whic h ensures competition as well as value 
for money on public procurement. We look forward to Indonesia taking the next steps to progress 
their accession process. We welcome Indonesia’s objectives of reducing greenhouse gas emissions 
and encouraging more sust ainable energy. Reduced barriers to imported components and foreign 
investment could speed up Indonesia’s energy transition and contribute to meeting its environmental 
goals.  
4.128.   The UK sees Indonesia as an important G20 partner. We welcome the agreement reach ed 
by G20 Trade Ministers on 22 September 2020 and look forward to working closely with Indonesia 
during Italy’s Presidency of the G20 in 2021 and during Indonesia’s G20 Presidency in 2022.  
4.129.   Last year the United Kingdom and Indonesia celebrated 70 years of  diplomatic relations, and 
we continue to  bolster our bilateral ties.  Our total bilateral trade was worth £2.9bn in 2019, and we 
are working to develop stronger economic ties as we emerge from the COVID -19 crisis. The United 
Kingdom is currently conducting  a bilateral Joint Trade Review with the Indonesian Government 
which is due to be concluded in January 2021. Through this, both sides are identifying opportunities 
to enhance bilateral trade relations and set the groundwork for future cooperation. In doing  so we 
work to strengthen the rules -based international system, fight protectioni sm, and reduce trade 
barriers.  
4.130.   In closing, allow me to thank our Indonesian colleagues for their valued cooperation and 
extend our wishes for a successful Trade Policy Review.  
COLOMBIA  
4.131.   We would like to convey our warm greetings to the delegation of Indonesia, headed by 
H.E. Mr Jerry Ksatria Sambuaga, Vice Minister of Trade, and also warmly welcome H.E. Ms Endah 
Werdaningtyas, Ambassador of Indonesia to the WTO. This is also an opportunity to highlight the 
excellent working relationship and cooperation between our two Missions.  WT/TPR/M/401  • Indonesia  
 
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  4.132.   We appreciate the comprehensive analysis and feedback provided by Ambassador Mr Ángel 
Villalobos of Mexico as discussant, as well as the work of the Secre tariat and the Indonesian 
authorities in preparing the reports, which we find quite detailed.  
4.133.   Indonesia has a dynamic economy, which has been characterized by high growth rates in 
recent years, even under complex international conditions, reflecting its pr udent macroeconomic 
management and sound monetary and fiscal policies. The positive performance of the economic 
indicators is largely explained by the scale and dynamism of domestic demand, Indonesia being the 
fourth most populous country in the world with  a fairly young average age.  
4.134.   However, although it has an important network of trade agreements, close ties with a 
number of Asian countries and significant opening up to foreign investment, Indonesia has a 
moderate share of world trade, evidenced by the fa ct that the share of trade in goods and services 
in total GDP fell from 48% in 2013 to 37% in 2019.  
4.135.   We recognize Indonesia’s commitment to the multilateral trading system and its founding 
principles, and its active participation in the ongoing negotiations  and the functioning of the regular 
bodies. At the bilateral level, our trade ties have been progressively strengthened during the more 
than 40 years since diplomatic relations were established. We note that there is an increase in 
Colombian exports of 15 per cent in the last year, almost entirely of manufactured and 
agro-industrial products. We still have a wide range of opportunities to deepen these exchanges.  
4.136.   Regarding tariff policy, we note that Indonesia has an average applied tariff of 10%, a higher 
rate than that recorded during the previous review period. A noteworthy aspect is the increase in 
tariffs in a number of cases on products such as coffee, confectionery, cosmetics, chemicals, and 
clothing and footwear, since they are considered to be produc ts competing with domestic 
manufacture. While the tariff structure is simple and there is little change, there are a number of 
peaks in specific sectors, such as agriculture and food preparations.  
4.137.   In addition, we noted that prohibitions, restrictions and i mport licences were maintained or 
increased during the review period. In the case of licences, the categories of products subject to this 
type of procedure, whether automatic or non -automatic, increased from 30 to 40, and consequently 
more than 30% of tari ff lines are currently subject to import licensing. In addition, there are a 
number of local content requirements in specific industries.  
4.138.   Regarding trade in agricultural and food products, we find the information in the Secretariat's 
report on halal requir ements illustrative, in that it sheds light on the functioning, coverage and 
granting of halal certification for products. We find that multiple changes have been made to the 
Guarantee Law and the implementing regulations, which have an impact on the way t o obtain 
certifications, domestic registration procedures, and information to be presented in the labelling and 
packaging of products before they can be distributed on the local market. We would appreciate a 
further illustration from the Indonesian authori ties with respect to the comprehensive functioning of 
these regulations.  
4.139.   This Trade Policy Review also highlights the leading role that state -owned enterprises 
continue to play in some sectors, particularly Perum BULOG's role in food imports, the stabiliza tion 
of staple food prices, and the management of public rice reserves. With the registration of 112 
state-owned enterprises and 341 subsidiaries, in addition to the high number of regional state -
owned enterprises, concerns are bound to exist regarding the ir influence on all sectors of the 
economy and the effects that these operations may have on subsidies, competition, non -
discrimination, innovation and the crowding out of private initiative.  
4.140.   In the area of customs procedures and foreign trade, we welcome the concrete progress and 
actions taken during the review period, which reflect the commitments of the Trade Facilitation 
Agreement. We note the launch of the Authorized Economic Operator programme and participation 
in the ASEAN Single Window platform, wit h regard to which Colombia has expressed interest in 
learning more about its functioning and the interoperability mechanism. We also recognize the 
efforts to improve risk management and to combat under -invoicing, illicit trade and smuggling, 
which are prob lems that affect all WTO Members.  WT/TPR/M/401  • Indonesia  
 
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  4.141.   Furthermore, we note the importance of FDI in Indonesia’s economy and export 
performance, as well as recent efforts to open and simplify the regulatory regime. There are positive 
changes such as the amendment of the negative investment list and the simplification of certain 
procedures. Despite the changes and the signing of bilateral investment agreements, there are still 
activities that are explicitly closed to foreign investment and others for which minimum project value 
requirements have been increased.  
4.142.   The Secretariat and Government documents reveal the importance of regional and bilateral 
trade agreements. Indonesia has 11 regional agreements in force. We congratulate Indonesia and 
all Members on the signing of th e Regional Comprehensive Economic Partnership (RCEP) agreement 
on 15 November. Without doubt this is an initiative that will strengthen and boost Indonesian foreign 
trade.  
4.143.   Moreover, we appreciate the fact that information has been shared in the Government report 
on the characteristics of micro, small and medium -sized enterprises (MSMEs), their participation in 
the economy and the labour market, and also efforts to promote their participation in international 
trade. Of particular interest is the information on the prominent role that e -commerce has played in 
the growth and competitiveness of these enterprises. We also welcome the fact that Indonesia's 
digital economy is recognized today as the fastest -growing in South -East Asia.  
4.144.   As emerging economies, Colombi a and Indonesia have built close ties to explore and enhance 
opportunities in South -East Asian markets, taking advantage of Indonesia's experience in creating 
and positioning unicorn companies. We are also working on issues related to the creative economy 
and changes in how to do business and set up enterprises.  
4.145.   Colombia submitted questions on aspects of interest, some of which we have addressed in 
this forum, such as tariffs, charges and restrictions on imports and exports, foreign investment 
policy, trade in services, and policies for the agriculture sector. We look forward to receiving 
responses in order to analyse them in detail with our authorities.  
4.146.   I would like to conclude by wishing Indonesia and its delegation a successful conclusion to 
the Trade Policy Review process. We extend our warm greetings and I rei terate our full support to 
Ambassador Werdaningtyas.  
THE SEPARATE  CUSTOMS  TERRITORY  OF TAIWAN,  PENGHU,  KINMEN  AND  MATSU  
4.147.   On behalf of the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu, I would 
first like to extend a warm welcome to the Indo nesia delegation led by His Excellency Vice Minister 
Jerry Adhitya Ksatria Sambuaga. We are confident that Indonesia will have a successful TPR.  
4.148.   I also like to thank the Secretariat on its comprehensive report and His Excellency 
Ambassador Ángel Villalobo s Rodríguez of Mexico for his helpful observations and comments.  
4.149.   As noted in both r eports of Indonesia and the Secretariat, Indonesia’s average annual GDP 
growth for the years 2013 to 2019, up to COVID -19 pandemic, was 5.1%. While this was a minor 
slowdow n compared to its previous performance, we still like to congratulate Indonesia on this 
achievement, and also on its performance in other aspects of the economy, such as its very low 
inflation and unemployment rates in 2019. We are also pleased to note tha t over the review period, 
Indonesia has undertaken structural reforms in various areas to raise its productivity and 
competitiveness, improved its investment climate, accelerated infrastructure development and 
promote economic diversification. We commend I ndonesia on its reform, and would encourage it to 
broaden and deepen these efforts, especially in trade and  investment -related areas.  
4.150.   One particular aspect that came to our attention was the fact that the ratio of Indonesia’s 
trade in goods and services to  its GDP dropped from 48.6% in 2013 to 37.3% in 2019. This means 
a lower exposure of the Indonesian economy to international trade. We sincerely hope that it does 
not represent a lower degree of openness on the part of Indonesia, nor a retreat from its eff orts on 
further integration int o the global value -chains.  WT/TPR/M/401  • Indonesia  
 
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  4.151.   We also hope that this lower exposure was not the reason for the 13.68% decrease in our 
bilateral trade in 2019. It would be useful if the actual reason of such decrease is analyzed  and 
provided.  
4.152.   Having said the above, Indonesia remains our 16th largest trading partner in 2019 and 
continues to be one of our most important suppliers of raw materials and preliminary inputs. We are 
hopeful that Indonesia’s various initiatives to minimize the impact of t he COVID 19 pandemic and 
the gradual improvement in the international trade environment will help rebuild our bilateral trade 
back toward an even he althier and growing trend.  
4.153.   While our two -way trade with Indonesia has somewhat declined over the last two ye ars, our 
investment in Indonesia has gained a new momentum in 2020, increased 47% in terms of value 
over the first 9 months as compar ed to the same period in 2019.  Hopefully, the continuous reform 
and openness by Indonesia will create a friendlier environm ent and more opportunities for  our 
potential investors.  
4.154.   Here I would like to highlight a few areas in which we would encourage Indonesia to make 
more progress in its reform:  
4.155.   Firstly, transparency is a fundamental WTO principle for designing and implementin g trade 
and investment -related policies and measures. We know Indonesia attaches importance to making 
laws more transparent and accessible. However, most of its laws and regulations are still published 
in the Bahasa Indonesia language only. This unfortunat ely makes them less accessible and more 
difficult to understand by foreign businesses and investors. We would encourage Indonesia to make 
them available in at least one WTO official language, preferably in English.  
4.156.   We would also encourage Indonesia to inc rease predictability with regard to the application 
procedure and requirements of products that are subject to marketing approval or certification, such 
as food, medicines, cosmetics, medical devices, and Halal products, among others. Our exporters 
and dis tributors also expect explanations and reasons for their appl ication being turned down.  
4.157.   Secondly, Indonesia applies import licensing and requirements on various products on the 
grounds of public health and safety, national security, public morals and cultu re, among others. The 
list of these products represents 30.6% of all tariff lines and covers a very wide range of products, 
including cement, lubricants, plastics, ethylene, textiles and textile products, food and beverage, 
iron and steel, hand tools, cell  phones, hand -held computers, tablets, tyres, and others. Some are 
not provided with rationale and application procedures. While we respect its authority to apply an 
import licensing system, we urge Indonesia to provide rationale for these requirements and  strongly 
encourage it to take a careful review of the current list of requirements leading toward liberalization. 
We also expect Indonesia to provide us with the procedures and rules that apply to the allocation of 
tariff-exemption quota for steel product s.   
4.158.   Thirdly, according to the Secretariat’s Report, Indonesia’s simple average applied MFN tariff 
rate increased from 7.8% in 2012 to 10.1% in 2020, leaving fewer tariff lines subject to rates of 
10% or below. A persistently high level of unpredictability  still exists as a result of the tariff -level 
increase. Some applied MFN rates even appeared to be higher than their corresponding bound rates, 
such as automatic data -processing machines, their units or parts, and parts of electronic ICs, to 
name just a fe w. We would encourage Indonesia to commit to bind more of its tariff lines and to 
maintain all of its applied MFN rates at lower than its bound rates.  
4.159.   Fourthly, we are also concerned about its export restrictions and licensing requirements. At 
present, mi neral products including coal, copper, iron ore, nickel, tin and the metal scraps thereof 
are still subject to export prohibition, restriction or domestic processing requirements. Some of 
them, such as copper ores, iron ore and zinc, are even subject to ex port taxes. These products are 
important inputs for our metal and steel -making industries. The restrictive measures and taxes 
applied to export of these materials or products create an unnecessary burden on our businesses. 
We urge Indonesia to lift these m easures, and  remove the export taxes.  
4.160.   Lastly, Indonesia’s import authorization for certain products remains subject to 
distributorship arrangements and local content requirements (LCRs). If we take cellphones , tablets 
and laptops as examples, the importers  must have distributorship arrangements with at least three WT/TPR/M/401  • Indonesia  
 
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  local distributors in order to get import authorization, and they are required to produce the products 
locally after three years. Since 2017, Indonesia has insisted that all imported cell phones m ust 
comply with local content requirements, and for 4G LTE smart phones in particular, the requirement 
for local content was set at 30%. These constitute unreasonable obstacles to our exports. We urge 
Indonesia to provide WTO legal basis for such requireme nt, and to consider relaxing or removing 
such requirements.  
4.161.   We would greatly appreciate receiving further detailed responses to the specific questions 
raised during this week’s TPR. We also look forward to the circulation of Indonesia’s written answers 
to all our questions as soon as possible.  
4.162.   We again wish Indonesia a constructive and successful TPR, and  look forward to having 
closer and more mutually beneficial economic ties with Indonesia in the future.  
MALAYSIA  ON BEHALF  OF ASEAN  
4.163.   I deliver this statement on behalf of ASEAN, who warmly welcomes the delegation from 
Indonesia, led by Vice Minister for Tra de, Mr. Jerry Sambuaga.  
4.164.   We would also like to thank the Secretariat for its comprehensive report, and the discussant, 
H.E Ambassador Ángel Villalobos Rodríguez of Mexico for leading today’s discussions.  
4.165.   Indonesia is one of the five members that founded AS EAN in 1967, and as the largest 
economy in ASEAN, plays a key role in regional economic integration and cooperation. In 2019, 
Indonesia’s exports to ASEAN Member States represented 24.72% of its total exports, whilst imports 
from ASEAN to Indonesia in the same year made up 23.1% of its total imports. Indonesia also hosts 
the ASEAN Secretariat in its capital, Jakarta.  
4.166.   In 2015, we established the ASEAN Economic Community (AEC),  with a collective market of 
USD 2.6 trillion and over 622 million people. We are well underway to improving this with the AEC 
Blueprint 2025 to become more highly integrated and cohesive; more competitive, innovative and 
dynamic; to enhance connectivity and sectoral cooperation; and to become a more resilient, 
inclusive, people -oriente d and people -centered community that is integrated within the global 
economy.  
4.167.   Indonesia is a major player in this initiative, and has been following agreed schedules for 
reducing tariffs on goods and liberalizing services sectors. Further, between 2015 -2018 it issued 16 
national economic policy packages to encourage industry and competitiveness through deregulation 
and harmonization of rules. Recently, Indonesia enacted an “Omnibus law” on job creation, aimed 
at improving the ease of doing business and stre ngthening their investment climate. This immense 
undertaking required the amendment of more than 75 laws and for the central government to issue 
more than 30 regulations within 3 months, which we must commend Indonesia for.  
4.168.   Indonesia has played a key lead ership role in ASEAN towards the conclusion and signing of 
the Regional Comprehensive Economic Partnership Agreement (RCEP) on 15 November 2020. RCEP, 
ASEAN’s FTA with Australia, China, Japan, the Republic of Korea, and New Zealand, is our biggest 
to date,  covering a market of 2.2 billion p eople, and a combined GDP of USD 26.2 trillion – 30% of 
the world’s GDP. It is expected to contribute significantly towards a swift and robust recovery of the 
region, particularly in the wake of the COVID -19 pandemic.  
4.169.   Indonesia’s commitment to the multilateral trading system is not limited to its efforts 
domestically and within ASEAN, but can also be seen in its active engagement in other international 
fora. 
4.170.   In the WTO Indonesia has, among other things, ratified the Tra de Facilitation Agreement in 
2017; submitted timely notifications in several areas, including agriculture, subsidies and 
countervailing measures, and sanitary and phytosanitary measures; and has been active in 
negotiations such as agriculture, non -agricult ure market a ccess, trade and environment, trade 
facilitation, f isheries, and the Joint Statement Initiatives on e -commerce and investment facilitation 
for development.  WT/TPR/M/401  • Indonesia  
 
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  4.171.   In Decem ber 2013, Indonesia hosted the N inth Ministerial Conference where agreement was  
reached on issues to streamline trade, allow developing countries more options for food security and 
boost least developed countries’ trade. In particular,  the Bali Ministerial Conference was a watershed 
moment as negotiations were concluded on the landma rk Trade Facilitation Agreement.  
4.172.   Indonesia is also an active member of various other groupings, such as the G20, and will 
become part of the G20 troika next year in preparation for its assumption of the presidency of the 
Grouping in 2022.  
4.173.   As a result of a ll these efforts, Indonesia has displayed steady GDP growth and resilience 
during the period under review, at approximately 5.1% from 2013 -2019. Although growth for 2020 
was revised downwards, Indonesia’s GDP has been projected to rebound in 2021, gaining strength 
in the medium term. Indonesia is also forecasted to become an advanced high -income country by 
2045. ASEAN has full confidence in Indonesia’s ability to achieve this.  
4.174.   Some  ASEAN Member States have submitted questions, and we would like to express our 
appreciation in advance for Indonesia’s written responses.  
4.175.   Thank you once again to H.E. Pak Hassan Kleib, H.E. Miss Grata Werdaningtyas, H.E. Pak 
Syamsul Siregar and their team, as well as Vice Minister Jerry Sambuaga, Pak Iman, and the 
Indonesian del egation for their active engagement. We wish you all the best for a success ful 
conclusion of your seventh Trade Policy R eview. We also wish to say farewell to Pak Hassan, who 
will end his tenure tomorrow on 10 December, and wish him all the best in his fut ure endeavour s. 
MALAYSIA  
4.176.   Malaysia is pleased to take part in the s eventh Trade Policy Review of Indonesia. We warmly 
welcome the delegation of Indonesia led by Mr. Jerry Adhitya Ksatria Sambuaga, Vice Minister of 
Trade. We also extend our appreciation to y ou Chair and the discussant, Ambassador Ángel Villalobos 
Rodríguez of Mexico , for the insightful view of Indonesia’s trade and economic policy during the 
review period.  
4.177.   Malaysia and Indonesia enjoy a longstanding bilateral relationship of deep economic links. 
In 2019, Malaysia’s total trade with Indonesia stood at USD  16.85 billion . 
4.178.   Malaysia’s exports to Indonesia amounted to USD  7.56 billion, with major exports being 
chemicals and chemical products (34.9%) followed by petroleum products  (10.5%); machinery, 
equipment and  parts (7.7%); electrical and electronic products (7.2%) ; and iron and steel products 
(4.5%).  
4.179.   Meanwhile, Malaysia’s imports were recorded at USD  9.39 bil lion, for palm oil and palm 
oil-based agriculture products (25.1%); petroleum products (11.1%); iron and steel products 
(10.3%); paper and pulp products (9.1%) ; and m anufactures of metal (6.7%).  
4.180.   Nevertheless, due to the pandemic, Malaysia’s trade with Indonesia decreased by 7.0% to 
USD 10.22 billion for the period of January to August 2020. Malaysia’s exports to Indonesia were 
USD 4.90 billion while Malaysia’s imports were USD  5.32 billion. Indonesia is Malaysia’s 8th largest 
trading partner.  
4.181.   At the investment front, Malaysia is among the top five foreign investors in Indonesia in the 
first quarter of 2020 with investment value of USD  0.5 billion.  
4.182.   At the multilateral f ront, we hope that Indonesia will continue to work responsively with WTO 
Members to further foster trade and growth.  
4.183.   We acknowledge the progress made by Indonesia in trade liberalization  with the conclusion 
of Regional Comprehensive Economic P artnership Ag reement (RCEP) and Free Trade A greements 
(FTAs) with Australia, the European Free Trade Association (EFTA) and Mozambique.  WT/TPR/M/401  • Indonesia  
 
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  4.184.   Because of our shared cultural heritage, Malaysia and Indonesia had always enjoyed close 
and brotherly ties. Towards this, Malaysia h opes the bilateral economic cooperation will be further 
strengthened in the years ahead for the betterment of both economies.  
4.185.   To conclude, we thank Indonesia’s response to our questions , and we shall examine the 
responses with the highest of interest. We wish Indonesia a productive Trade Policy Review.  
SINGAPORE  
4.186.   The Sin gapore delegation welcomes Vice Minister of Trade, H.E. Dr. Jerry Sambuaga, and 
our Indonesian colleagues, who are participating virtually from Jakarta. We thank Indonesia fo r the 
comprehens ive Government report and s tatement. We also thank the TPRB Chair, Ambassador 
Harald Aspelund, the Secretariat, and the discussant, Ambassador Angel Villalobos Rodriguez of 
Mexico, for their insightful perspectives.  
4.187.   At the outset, Singapore commends Indon esia for supporting the “hybrid” TPR of the WTO, 
in the face of significant disruptions caused by the COVID -19 pandemic. The monitoring function is 
a critical pillar of the WTO and the continuation o f these activities signals the Organiz ation’s 
resilience.  Allow me to make three poi nts. 
4.188.   First, on the bilateral front, Singapore and Indonesia share warm and longstanding bilateral 
relations as close neighbours. In 2019, Indonesia was our 6th largest trading partner, with bilatera l 
trade volumes amounting to US D 43 billion, covering a wide range of sectors that reflect the breadth 
and depth of our economic ties. Indonesia also continues to be an at tractive location for 
Singapore -based investors, and Singapore has consistently been among the top five investors in  
Indonesia since 2001. In fact, since 2014, Singapore has been the largest foreign investor in 
Indonesia. In 2019, Singapore’s inve stments in Indonesia reached USD 6.5 billion wi th 
7,020  projects in Indonesia, and accounting for almost a quarter (23.1%) of  Indonesia’s total 
Foreign Direct Investment. We look forward to hearing more from Indonesia during this Review on 
its plans to make its regulations more readily accessible and transparent, which will help to make 
Indonesia an even more attraction destinat ion for foreign investment s. 
4.189.   Singapore and Indonesia are also collaborating on several digital economy initiatives. For 
example, the Nongsa Digital Park in Batam, established by Singapore’s Economic Development 
Board and BP Batam of Indonesia in 2018, is a n integrated digital park that provides a conducive 
eco-system f or digital businesses to grow. Since its establishment, the Digital Park has gr own 
significantly and currently  hosts about 100 companies with over 1000 employees. Singapore and  
Indonesia are also partnering to establish tech start -up ecosystems and learning -exchange 
programmes,  such as e -commerce logistics.  
4.190.   Second, on the regional front, Singapore welcomes Indone sia’s continued efforts to deepen 
economic regional integration in order to realize the objectives of the ASEAN Economic Community 
(AEC) Blueprint 2025. We commend Indonesia’s commitment to promote greater trade facilitation 
and connectivity through the AS EAN Single Window, as well as the ASEAN Wide Self Certification 
scheme and the ASEAN Customs Transit Systems, both of which went live in 2020. We look forward 
to Indonesia’s early ratification of the ASEAN E -Commerce Agreement to advance trade rules and 
connectivity in the region. We will continue to work with Indonesia, as well as the rest of ASEAN on 
the smooth imple mentation of these initiatives.  
4.191.   Third, on the multilateral front, Singapore applauds Indonesia for its active role in WTO 
Committees and bodi es. We are heartened that during the review period, Indonesia ratified the 
Trade Facilitation Agreement, and several IP treaties, such as the Beijing Treaty on Audio -visual 
Performances. Indonesia’s commitment to IP rights and leveraging on IP as a catalys t for innovation 
is further demonstrated by its government’s efforts to jointly develop a home -grown COVID -19 
vaccine, called the “Merah Putih (Red -White)” vaccine, with six In donesian research institutions.  
4.192.   During this TPR, we look forward to learn more a bout Indonesia’s aims for the recent 
Omnibus tax bill, how it plans to increase the competitiveness and performance of its domestic 
companies, as well as Indonesia’s initiatives to enhance its customs procedures and import licensing 
requirements to be in l ine with WTO provisions. We note from the Secretariat’s Report that Indonesia 
remains one of WTO's most frequent initiators of anti -dumping investigations and resulting actions, WT/TPR/M/401  • Indonesia  
 
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  and that Indonesia’s simple average applied MFN tariff rate rose from 7.8% in 2012 to 10.1% in 
2020. The applied MFN rates on 99 HS17 eight -digit tariff lines also appear to exceed their 
corresponding bound rate by 5 percentage points. We encourage Indonesia to rectify this situation 
in acco rdance with its WTO commitments  
4.193.   To conclud e, Singapore will continue to strengthen our cooperation with Indonesia, on the 
multilateral, regional and bilateral fronts. We wish Indonesia every success for this TPR.  
EUROPEAN  UNION  
4.194.   On behalf of the European Union, I would like to welcome the Indonesian d elegation led by 
H. E. Mr. Jerry Sambuaga , Vice Minister of Trade. I am also glad to acknowledge Director General 
of International Trade Negotiations Iman Pambagyo , former Ambassador to the WTO and currently 
the Chief Negotiator for the EU -Indonesia FTA (EU -Indonesia CEPA) who has also been instrumental 
in the successful conclusion of the Regional Comprehensive Economic Partnership (RCEP) 
negotiations. I would like to congratulate him on behalf of the EU for this achievement. I also thank 
the WTO Secretariat and the Government of Indonesia for their repor ts and the Discussant, 
H.E. Mr. Ángel Villalobos Rodríguez, Ambassador of Mexico,  for his views.  
4.195.   Indonesia, as the largest economy of  ASEAN, has charted impressive economic growth since 
overcoming the Asian financial crisis in the late 1990s and reached the upper -middle income status 
for the first time in 2019. Despite the COVID -19 crisis and other global uncertainties that will most 
likely cause a recession this year, there is a potential for continuous long -term growth driven by 
strong domestic demand and the demographic dividend.  
4.196.   We expect the Indonesian Government under the second term of President Joko Widodo to 
continue to focus on  infrastructure development, regulatory reform and improving the business 
climate, and to structurally transform the economy from natural -resources dependency to a more 
competitive and modern manufacturing and service powerhouse. Therefore, the EU welcomes  the 
spirit of the Omnibus Law on Job Creation, signed by the President on 2 November, which 
fundamentally addresses regulatory overlap and conflicts deriving from many layers of laws and 
regulations. The Omnibus Law may help to address the long -standing i ssue of burdensome import 
licensing requirements and procedures and improve market access for services and investment. The 
EU looks forward to seeing  this ambition being translated in the forthcoming implementing 
regulations.  
4.197.   The EU and Indonesia share a long history of economic cooperation. The entry into force of 
the Partnership and Cooperation Agreement in May 2014 created the legal framework for this 
cooperation, with the joint objectives of increasing trade, investment and business opportunities, 
and pursuing poverty alleviation through sustainable economic development.  
4.198.   More recently, the launch of the EU -Indonesia trade negotiations in July 2016 showed the 
common resolve to expand bilateral trade and investment relations and modernize the economy 
through structural reforms.   
4.199.   Bilateral trade in goods between the EU and Indon esia amounted to EUR 26.2 billion in 2019, 
with EU exports worth EUR 10.2 billion  and Indonesia’s exports worth EUR 16 billion. This makes 
the EU the third largest trading partner for Indonesia, while Indonesia was the 31st global trading 
partner for the EU and fifth largest partner for the EU in ASEAN.  
4.200.   EU investments continued to grow steadily,  and the EU remains the top non -Asian investor 
in Indonesia. FDI stocks more tha n double d since 2008, reaching EUR 33 billion in 2018.  
4.201.   We commend Indonesia for its improved WTO commitments by ratifying the WTO Trade 
Facilitation Agreement in 2017.  
4.202.   However, despite all the positive economic developments, the EU would like to convey its 
conce rns about some trade policy trends in Indonesia since the last Trade Policy Review, and 
especially after the passing of the Trade Law in 2014, regarding the increasing number of laws and 
regulations that are having systemic consequences for foreign operato rs’ access to Indonesia’s 
market and impact on Indonesia’s ability to fulfill its WTO commitments.   WT/TPR/M/401  • Indonesia  
 
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  4.203.   In particular, we register the introduction of import licensing requirements, port of entry 
restrictions, trading rights limitations, pre -shipment inspecti on requirements, local content and 
domestic manufacturing requirements as well as export restrictions (including taxes and 
prohibitions). All together, these measures create a complex web of approvals and unjustified 
requirements that are disruptive for tr ade flows and threaten to make Indonesia’s market 
impenetrable.  
4.204.   Among the most important obstacles affecting trade and investment flows, I would like to 
stress the following measures that have also been subject of the EU advanced questions:  
• The ban on nickel export (enforced since 1 January 2020), which is inconsistent with the 
WTO obligations of Indonesia and is creating distortions to the international markets 
adding uncertainty to the business.  
• Cumbersome import procedures. Around one fif th of all Indonesian tariff lines are subject 
to import procedures and licenses that create confusion. This applies to a broad range of 
products, including electronics, household appliances, textiles and footwear, toys, and 
food and beverage products.  
• Uncertainty continues to surround the implementation of Law 33/2014 – also known as 
the Halal Law, and the related Implementing Regulation No 31 of 2019. None of these 
measures have been notified to the WTO.  
• More generally, the insufficient use of internation al standards and the pervasive local 
content requirements are impeding trade and investment in many sectors and making the 
business environment very unpredictable. Such policies are detrimental to the long -term 
trade or investment objectives, not only in t he sectors concerned but also and in the areas 
of the economy that are d irectly or indirectly related.  
4.205.   These measures have also been subject of the EU advanced questions and we regret that 
we have not yet received replies by Indonesia.  
4.206.   We would also invit e Indonesia to submit without delay outstanding notifications in areas 
such as trade -related i nvestmen t measures, and quantitative restrictions.  
4.207.   In conclusion, the EU appreciates Indonesia’s development challenges but also its vast 
potential as one of the growing powers in Asia and on the world stage.  The EU encourages Indonesia 
to meet its natural desire to grow its economy by moving up the added value chain while supporting 
the multilateral trading system. On behalf of the EU, I wish Indonesia a very pro ductive and  
successful R eview.  
SWITZERLAND  
4.208.   Thank you for giving me the floor. Like previous speakers, I would like to extend a very 
warm welcome to Indonesia’s delegation led by Vice Minister of Trade, Jerry Adhitya Ksatria 
Sambuaga. Let me also thank the  discussant, Ambassador Ángel Villalobos Rodríguez , for his 
thoughtful observations on this country and the Secretariat for their substantive contributions to this 
trade policy review.  
4.209.   Indonesia has enjoyed remarkably stable and high economic growth in rec ent years. 
Certainly, the continuous reform policy of the Indonesian Government has played a key role to this 
positive development notably by improving the business climate through measures to deregulate, 
cut red tape, open the economy and remove restricti ons on foreign investment. Other priorities of 
the reform have been to develop infrastructure and increase efforts in education and training. The 
continuity of the economic policy has strengthened business confidence.  
4.210.   Despite these remarkable achievements,  Indonesia is still relatively less integrated into 
global value chains. The Indonesian economy benefits primarily from a vast domestic market and 
growing consumption. Furthermore, state involvement in the economy remains important.  
4.211.   The COVID -19 pandemic is also affecting the Indonesian economy and, as elsewhere in the 
world, is causing a lot of uncertainty for the further development. With good macroeconomic 
conditions before the crisis, a low inflation rate and sound public finances, Indonesia is well pr epared WT/TPR/M/401  • Indonesia  
 
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  to take effective measures to ensure that the economy overcomes the crisis relatively well and that 
it returns to a growth path soon.  
4.212.   Within this context, we would like to encourage the Indonesian authorities to direct the 
economic and trade policy  measures more towards integration into global value chains and, to this 
end, that existing barriers to foreign trade and foreign investment be dismantled more vigorously to 
open up additional sectors of the economy for FDI and to foster competition.  
4.213.   Switz erland – together with the other EFTA States – has concluded negotiations on a 
Comprehensive Economic Partnership Agreement (CEPA) with Indonesia in December 2018. I would 
like to extend my thanks to our Indonesian colleagues for the constructive spirit in  which these 
negotiations were conducted. This ambitious agreement will put our already good bilateral economic 
relations on a new footing and provide an important impetus to bilateral trade. The domestic 
approval procedures are underway on both sides, cul minating in a public vote on the agreement in 
Switzerland early next year. We are confident that the Swiss voters will support this important and 
modern agreement and look forward to working towards its successful implementation with our 
Indonesian partner s. 
4.214.   I would also like to highlight the recent signature of the Regional Comprehensive Economic 
Partnership, RCEP, and congratulate Indonesia and the other members for this success.  
4.215.   Switzerland had submitted a series of questions in writing. We are looking forward to 
receiving the answers, for which we thank Indonesia very much. We will examine them carefully. In 
our questions we noted applied duties for 99 eight -digit tariff lines that exceed the bound rates in 
Indonesia’s schedule. We would be inte rested in more information on how Indonesia intends to 
ensure the conformity of these duties with the WTO obligations.  
4.216.   Switzerland raised its concerns over the potential impact of Indonesia’s Halal Product 
Assurance Law No. 33 of 2014 and its implementing regulation, GR No. 31 of 2019, on bilateral 
trade with Indonesia in a range of products, including food and pharmaceuticals. We wish to 
encourage Indonesia to provide sufficient information and guarantee transparency over the 
implementation of this regulat ion in order to avoid unnecessary burden to the economic operators.  
4.217.   Furthermore, Switzerland was asking for more information on the overall objectives of the 
new legislative framework for government procurement. Switzerland would like to encourage 
Indones ia to consider adhering to international standards and improving access to government 
procurement markets within the WTO Government Procurement Agreement (GPA). This could be an 
important incentive for MSMEs to increase their exports opportunities and rein force their 
competitiveness on domestic and world markets, contributing to achieve sustainable growth and 
sustainable development.  
4.218.   To conclude, let me thank the Indonesian delegation’s constructive and active engagement 
in support of the multilateral tradi ng system. We hope that, with the necessary crisis measures, the 
Indonesian economy will soon return to a growth path and that it will be able to sustain this growth 
with a stronger and diversified integration into world trade.  
4.219.   We wish Indonesi a a successf ul outcome of this Trade Policy R eview.  
PAKISTAN  
4.220.   Pakistan warmly welcomes the Indonesian delegation led by H.E. Mr. Jerry Adhitya Ksatria 
Sambuaga, Vice Minister of Trade. We wish to thank the Secretariat for their work in preparing the 
report. We also wis h to thank H.E. Mr. Ángel Villalobos Rodríguez  of Mexico for his introduction and 
a well -articulated analysis of the trade p olicy of Indonesia to start our discussion.  
4.221.   We would like to commend Indonesia on its various policies and initiatives during the review 
period in the context of improving trade facilitation infrastructure and encouraging support for 
strengthening the multilateral trading system. In particular , we n ote that, Indonesia has 
implemented 88.7% of its commitments under Trade Facilitation Agreement which is a significant 
achievement.  WT/TPR/M/401  • Indonesia  
 
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  4.222.   Pakistan and Indonesia enjoy excellent trade relations. The bilateral trade between both 
countries was recorded at USD 2.54 billion in 2018 -19 with exports of USD 167 million and imports 
of USD 2.37 billion. The trade balance remained in favor of Indonesia. During the review perio d, 
Pakistan generally exported rice, w heat, cotton, paper, mandarin, kinno, fish, leather and g arments. 
Meanwhile, Pakistan imported palm oil, auto parts, coal, areca nuts, rubber, paper, liquified natural 
gas and c ocoa. Apart from trade relations both countries also enjoy strong cultural ties.  
4.223.    Keeping in view the huge Indonesian market and importance  of achieving the status of Full 
Dialogue Partner in ASEAN, Pakistan is pursuing vigorously the strengthening of commercial relations 
with Indonesia. The Comprehensive Economic Partnership Agreement (CEPA) signed during the visit 
of the President of Indone sia in November 2005, was an endeavor in this direction. Under the 
umbrella of CEPA, both sides signed a Preferential Trade Agreement (PTA) in February 2012.  
4.224.   The PTA was perceived to be a primer for the Free Trade Agreement (FTA) to be negotiated 
subseque ntly. The scope of the FTA would be to cover goods, services and investment. For this 
purpose, a Trade Negotiating Committee (TNC) comprising the experts from both sides has been 
constituted.  
4.225.   Both sides have started the negotiations of a comprehensive FTA as per the commitments 
already agreed between the two sides under the CEPA. In this regard, the first meeting of Joint 
Negotiating Committee to discuss matters pertaining to expansion of IP -PTA to FTA was held in 
August 2019.  
4.226.   Given the overall trade and ec onomic cooperation, Pakistan continues to carefully watch t he 
developments in Indonesia’s trade policy, in particular a griculture policies, tariffs and TRQs, technical 
standards, sanitary and p hytos anitary measures and import licensing r egime. We are hopef ul that 
these policies will remain consistent with WTO commitments and obligations and will be non -trade 
restrictive. In order to get more details on specific concerns regarding the Indonesian Import 
Licensing Regime Pakistan has submitted written question s which to be responded by Indonesia in 
due course of this TPR.  
4.227.   Pakistan and Indonesia enjoy good cooperation in all WTO related matters and our Missions 
coordinate on various important matters such as Agriculture, dispute settlement and other systemic 
issues. We are confident that Indonesia stands committed, along with the membership, to the cause 
of trade and sustainable development and upholding a bright future for the multilateral trading 
system.  
4.228.   We thank the delegation of Indonesia and especially thei r WTO Mission under the 
stewardship of Ambassador H.E. Mr. Hasan Kleib for the continued support and cooperation. We 
wish Indonesia a very successful and fruitful Trade Policy Review.  
NORWAY  
4.229.   Norway would like to join others in welcoming the del egation from  Indonesia to this R eview 
of Indonesia’s trade policy, and to thank the Secretariat and the Government of Indonesia for their 
reports.  
4.230.   First of all, I would like to underscore the good bilateral and economic cooperation we have 
had with Indonesia for the last 70 years. Indonesia is a significant export market for Norwegian 
seafood, fertilizers  as well as broad range of other products. We are cooperating cl osely in areas 
such as energy, fish and seafood, shipping and the marine environment, as well as in ne w areas 
such as fintech. Over the last 10 years we have worked together to address issues related to climate 
change, such as the challenges related to deforestation. We are looking forward to continuing  our 
cooperation in all these areas.  
4.231.   We think both re ports give  a good description of the trade policy situation in Indonesia, and 
in particular in sectors of special interest to us, such as maritime transportation, insurance and 
seafood.  
4.232.   Indonesia is an attractive market for Norwegian seafood, and has a gr eat potential. In 2019 
we exported nearly 8000 tons of seafood to Indonesia, and we are eager to increase the volume of WT/TPR/M/401  • Indonesia  
 
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  trade between our two countries. Therefore, we are interested in learning more about Indonesia’s 
import regime and import quota system, and have posed some written questions to that effect. 
Norwegian exporters of seafood have reported difficulties entering  the Indonesian market. Import 
licenses and quotas can be hard to obtain, and the allocation system is not transparent. Some 
Norwegian exporters of seafood have for these reasons stopped their exports to Indonesia. We look 
forward to receiving a response t o our questions regarding the system for import licenses and quotas 
for import of seafood, including rules and regulations.  
4.233.   Another are a of concern is related to the shipping sector. Norway notes with concern the 
restrictions placed on foreign -owned shippi ng and insurance companies regarding the transport of 
certain commodities. The “National Shipping Requirement” and the “National Insurance 
Requirement” require all exports of Indonesian coal and crude palm oil (so -called “relevant exports”), 
as well as imp orts of rice and government procured goods (so -called “relevant imports”), to be 
shipped on vessels owned or leased by Indonesian -owned shipping companies and insured by 
Indonesian -owned insurance companies.  
4.234.   We note that the legislation has undergone seve ral amendments, most recently by limiting 
its scope to relevant exports and imports transported on ships with a capacity of 10 000 deadweight 
tons or less. This is a step in the right direction. However, we look forward to receiving a response 
to our quest ions in this regard, and in particular information on how these restrictions comply with 
Indonesia’s WTO obligations.  
4.235.   We appreciate Indonesia’s efforts to reduce red tape and simplify rules to enhance job 
creation, strengthen trade and foreign investments  through the Omnibus Law on Job Creation signed 
by the president on 5 November 2020. At the same time, it is important that this law does not 
weaken environmental regulations. We are looking forward to see the law implemented and to see 
the opening up of f urther sectors to foreign businesses. This is a step in the right direction and the 
new law is well received by our businesses.  
4.236.   Finally, we are looking forward to the ratification by Indonesia of the CEPA -agreement 
between Indonesia and the EFTA countries,  which we believe will contribute to increase trade flows 
and strengthen economic relations in the future, to the benefit of all countries involved.   
4.237.   Let me conclude  by wishing the delegation of Indonesia a successful TPR.  
UKRAINE  
4.238.   The Ukrainian delegation is pleased to participate in the 7th Trade Policy Review of Indonesia.  
4.239.   On behalf of our delighted, I would like to welcome the del egation of Indonesia led by 
Mr. Jerry Adhitya Ksatria Sambuaga and express appreciation to the Indonesia's team for  its 
constructive engagement in this TPR exercise. Ukraine also appreciates the substantial work of the 
TPRB Chair and the WTO Secretariat, the meaningful analysis of the discussant, H.E. Mr. Ángel 
Villalobos Rodríguez . 
4.240.   Ukraine commends Indonesia for its p ositive economic performance represented by steady 
growth of the economy (averaging 5.0% per year during the review period) and acknowledges 
efforts of the Government in implementation of various trade and trade -related structural reforms, 
including polici es that improve the investment climate, enhance industrial competitiveness, upgrade 
logistics efficiency, stimulate export, promote tourism, and strengthen people's purchasing power.  
4.241.   We note several additional support initiatives, undertaken for minimizing  the adverse 
economic impact of COVID -19, and believe that Indonesia could success fully address current 
COVID -19 challenges and support economic growth.  
4.242.   Ukraine also notes degree of openness of the Indonesian economy and importance of 
international trade i n it, but considers that there are more possibilities for its integration into global 
value chains.  
4.243.   At the multilateral level, Ukraine recognizes principal role of Indonesia on various economic 
and trade -related issues of importance to the developing count ry members and the least -developed WT/TPR/M/401  • Indonesia  
 
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  country members, within the WTO process as well as outside the WTO, including continuation of 
negotiating the Doha Development Agenda, implementation of the WTO reform, trade facilitation, 
reducing non -tariff barriers etc .  
4.244.   Indonesia is an important trade partner of Ukraine. The key points of our cooperation are 
trade in agricultural products and interaction between competent authorities that ensure product 
safety control.  
4.245.   In 2019 the volume of our bilateral trade in good s increased by 17.8% comparably to  2018 
and amounted more than USD  1 billion. Our bilateral trade in agric ultural products amounted to 
USD 723.9 million in 2019 ( ↑ 9.1%). For 9 months of 2020 it has increased by 5.3%.  
4.246.   Ukraine is interested in enhancing our  bilateral trade and economic cooperation.  
4.247.   The reports of the Government of Indonesia and the WTO Secretariat raised questions in a 
number of  areas – as detailed in Ukraine’ s written submissions to this Review. The main themes 
addressed were: investment p olicy, sanitary requirements for obtaining permits for importation of 
eggs, meat and bone meal from bovine, swine and poultry into Indonesia, amended provisions on 
compulsory licensing, regulations on financial services etc.  
4.248.   While analyzing given responses , Ukraine is looking forward to developing further 
partnership and enhanced trade between both countries and w ishes Indonesia successful TPR.  
JAPAN  
Introduction  
4.249.   Let me first extend a warm welcome to this Seventh TPR meeting to the distinguished 
delegation of Indonesia headed by His Excellency, Jerry Adhitya Ksatria Sambuaga, Vice Minister of 
Trade. We truly appreciate that the Indonesian delegation has shown great  flexibility by agreeing to 
hold this TPR meeting via a virtual format under the current circumstances. Also, we sincerely 
appreciate the dedicated efforts made by Indonesia and the WTO Secretariat to prepare the insightful 
reports shared with the members in advance of today's review.  
General affairs (macroe conomy)  
4.250.   Indonesia is a very important trading partner for Japan. In 2019, Indonesia was Japan’s 
twelfth largest trading partner, and trade between our two coun tries reached a value of 
USD 32 billion in t otal. On investment, Japan continues to be the seventh largest foreign direct 
investor to Indonesia, and our FDI amounted to USD 8.4 billion in 2019.  
4.251.   Domestic demand is a major driver of economic growth for Indonesia. During 2020, however, 
this demand has been particularly hard hit due to the COVID -19 pandemic. In spite of this, we 
acknowledge that Indonesia has been placing increasing importance on structural reforms, notably 
in the area of labour productivity, the taxation system, and policy administratio n for areas such as 
import procedures. We look forward to seeing Indonesia recovering quickly and building back better 
by advancing these reforms.  
Trade Policy  
4.252.   Turning to trade policy, Indonesia and Japan have strengthened economic partnership 
through sev eral RTAs, including our Indonesia -Japan EPA and the ASEAN -Japan EPA. For instance, 
under a specific provision of the Indonesia -Japan EPA, 186 candidates for nurses and 577 candidates 
for care workers have passed the Japanese national exam as of March 2020 , enabling them to work 
in Japan. Also, we are pleased that the Regional Comprehensive Economic Partnership (RCEP) was 
signed on 15 November this year. We believe that Indonesia’s efforts and cooperation under these 
RTAs will contribute to further strength ening the Multilateral Trading System. We would also 
appreciate it if Indonesia could kindly share the current situation concerning its ongoing negotiations 
with other countries such as Korea, Central and South American countries, and African countries, 
further to the explanation made by the head of delegation in this initial remark.  WT/TPR/M/401  • Indonesia  
 
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  4.253.   During the review period, we welcome Indonesia’s trade facilitating measures, inter alia the 
launching of the Authorized Economic Operator (AEO) programme and the participation  in the ASEAN 
Single Window as the head of delegation mentioned before. However, we express our concerns over 
the undue delay of import permission procedures for rice without a clear explanation, and arbitrary 
or non -transparent measures on some fresh food s for sanitary and phytosanitary (SPS) reasons.  
Specific Trade Issues  
4.254.   As for textile products, importing for sales purposes has been substantially restricted since 
the introduction of Indonesia’s import registration and approval regime, and these restricti ons are 
leading to substantial import decline. In addition, on 21 September 2020, Indonesia notified the 
WTO of its proposal to apply safeguard measures on carpets and textile products. We are concerned 
that the measures may potentially be envisaged to imp ose additional high tariffs. We encourage 
Indonesia to carefully consider the scope of the goods targeted by this measure in light of the 
agreement on safeguards, which stipulates that safeguard measures shall be applie d only to the 
extent necessary.  
4.255.   Regar ding the import licencing procedure for steel products, since 2010, Indonesia has 
tightened the management of 480 products under the Minister of Industry and Trade Decrees. Since 
then, it has been taking an unnecessarily long time to issue import licences requiring additional 
documents. Not only that, but authority frequently do not fully approve the quantities which 
importers are intended to import, and reduce the quantity allowed without any specific reasons being 
provided. Bearing in mind this situation,  Japan requests Indonesia to properly administer its import 
licence procedures without d istorting trade liberalization.  
4.256.   On 4 September 2015, Indonesia’s Anti -Dumping Committee (KADI) initiated an 
investigation to review the sunset of anti -dumping measures on cold -rolled steel sheets, however, 
the WTO has not yet been informed of the results of the investigation. Once the investigation has 
been completed, we look forward to seeing this notified to the Com mittee on Anti -dumping.  
4.257.   With regard to telecommunicati ons, since 2015, the Ministry of Communication and 
Information Technology introduced a requirement to meet the relevant local content thresholds for 
4G LTE mobile devices and base stations and also established a regulation on the calculation 
methodology fo r the local procurement ratio without providing any specific guidelines. Japan is 
concerned that these measures have been creating a less favourable treatment for foreign products 
and therefore are inconsis tent with TRIMs and GATT rules.  
Conclusion  
4.258.   In conclusion, Japan positively evaluates Indonesia’s efforts towards improvement of its 
trade environment since the previous TPR. We appreciate the answers provided by Indonesia to our 
written questions. We will consider them carefully, and if we have fur ther concerns, we will submit 
additional questions. Last but not least, we wish Indonesia a successful and productive TPR. Thank 
you, Mr. Chairman, Mr. Discussant, H.E. Mr. Ángel Villalobos Rodríguez , and all the distinguished 
delegates of Indonesia.  
PHILI PPINES  
4.259.   The Philippines associates itself with the ASEAN Statement delivered by Malaysia,  
highlighting the important contributions and active role of Indonesia in the ASEAN and the WTO.  
4.260.   The Philippine delegation warmly welcomes and congratulates the delegat ion of Indonesia 
led by Trade Vice Minister Jerry Adhitya Ksatria Sambuaga in Jakarta and Ambassador Grata Endah 
Werdaningtyas and Ambassador Syamsul Bahri Siregar in Geneva on their 7th Trade Policy Review. 
We also thank Ambassador Angel Villalobos Rodrig uez of Mexico for his insightful comments as 
discussant, and the WTO Secretariat for a comprehensive report.  
4.261.   The Philippines has a dynamic and longstanding bilateral relationship with Indonesia, which 
was further strengthened with the establishment of our  formal diplomat ic relations in November 
1949. For the past seven decades, our two countries have deepened our ties and broaden our 
economic cooperation. In 2019, Indonesia ranked as the Philippines’ 8th major trading partner, with WT/TPR/M/401  • Indonesia  
 
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  total two -way trade valu ed at USD 7.7 billion. Indonesia was also the Philippines’ 13th export 
market, 6th import source, and 27th source of approved investments.  
4.262.   To further strengthen the bilateral trade and investment flows between our two economies, 
the Philippines and Indones ia recently conducted the 8th Meeting of the Joint Working Group (JWG) 
on Trade, Investments, Handicrafts and Shipping, which was virtually held on 11 August 2020. The 
Joint Working Group serves as a focused mechanism to discuss trade, investments, economi c 
cooperation and other issues affecting the business environment, which compliments the regular 
engagement of both countries under the ASEAN framework. The virtual Joint Working Group held 
last August was the first bilateral meeting convened by the Philip pines since the onset of the 
pandemic, which demonstrated the strategic importance of Indonesia to the Philippines, especially 
given the many commonalities we share as two of the biggest economies in ASEAN, working together 
to address the unprecedented cri sis. 
4.263.   Similar to the Philippines, Indonesia is an archipelago nation, rich in natural resources and 
benefiting from a significant size of labour force which comprise around 68% of its total populatio n. 
Indonesia holds the world’s 4th largest population and 10th largest economy in terms of purchasing 
power parity. It is the largest economy in Southeast Asia comprising 35% of the region’s GDP.  
4.264.   The Philippines notes the important updates on Indonesia’s trade and investment policies, 
as well as its institutiona l and regulatory reform initiatives, in areas including transparency, anti -
corruption, investment promotion, and economic dispute resolution. During the review period, the 
general thrust of Indonesia's trade policy was revised in several areas, including t ariffs; customs 
procedures; import and export prohibitions; restrictions and licensing; export taxes; and export 
finance, guarantees and insurance. We acknowledge these developments and look forward to 
learning more about these new policies through this re view process.  
4.265.   Further, we note from Indonesia’s Government Report that it is amongst the top five 
economies in the world with the most numbers of start -ups. The Philippines appreciates the inclusion 
of MSME section in Indonesia’s government report, recogni zing MSMEs as an engine of Indonesia’s 
economic growth as it contributes to more than half of its economy’s revenue.  
4.266.   The Philippines commends Indonesia’s commitment to the multilateral trading system and 
its active engagements in the various WTO work, inc luding the negotiations on agriculture and 
fisheries subsidies, and the joint statement initiatives on electronic commerce and investment 
facilitation. We would likewise encourage and welcome Indonesia’s support to the WTO Informal 
Working Group on MSME’s package of recommendations and declarations to support MSMEs 
participation in international trade considering the important contribution of MSMEs to inclusive and 
sustainable economic growth.  
4.267.   The Philippines has submitted some advance written questions on  the TPR reports and we 
thank the delegation of Indonesia in advance for their prompt replies.  
4.268.   In closing, the Philippines looks forward to further enhancing the mutually beneficial 
economic relations with Indonesia in the bilateral, regional, and multila teral fora.  
RUSSIAN  FEDERATION  
4.269.   I would like to extend a warm welcome to the delegation of Indonesia. We appreciate the 
comprehensive reports by the Government and the WTO Secretariat. Our thanks also go to the 
discussant, H.E. Mr. Ángel Villalobos Rodríguez , for his thoughtful remarks. We hope that this TPR 
would contribute significantly to the transparency of the trade regime of Indonesia.  
4.270.   We would like to commend the Government of Indonesia for carrying out effective trade and 
investmen t policies that ensured solid economic performance and resilience of its economy with the 
annual average GDP growth at 5.1% during the review period. It seems that the Government was 
relatively successful at addressing the COVID -19 challenges with timely a nd effective interventions 
that allowed to minimize economic impact of the pandemic. We welcome Indonesia’s continued 
commitment to the multilateral trading system, the ratification of the Trade Facilitation Agreement 
in December 2017 and submission of sev eral notifications in a number of areas.  WT/TPR/M/401  • Indonesia  
 
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  4.271.   Over the years, the Russian Federation and Indonesia have been developing bilateral 
economic cooperation in many areas. Joint projects are being undertaken in infrastructure 
development, energy sector, mining and mi neral processing, supply of equipment and vehicles, civil 
aviation, space industry. During the review period, our trade turnover showed an upward trend, 
amounting to USD 3.3 billion in 2017, rising by more than 25% compared to the previous year.  
4.272.   Russia has  submitted a number of written questions related to issues of import prohibitions 
and quantitative restrictions, import licensing, antidumping and safeguard measures, competition 
policies, services, intellectual property rights and others. Questions concer ning measures affecting 
production and trade, i.e. government procurement and SPS requirements, are of our particular 
interest. We thank  
4.273.   the delegation of Indonesia for t he replies and hope to continue  working on alleviating 
existing quite sensitive trade  issues with a view to enhance our bilateral cooperation.  
4.274.   In conclusion, we would like to thank you, Mr. Chairman, the delegation of Indo nesia, the 
Secretariat and the d iscussant, for the impressive work done so far and wish Indonesia a successful 
Trade Po licy Review.  
THAILAND  
4.275.   At the outset, Thailand would like to associate itself with ASEAN statement delivered by 
Malaysia.  
4.276.   Thailand is pleased to participate in the 7th trade policy review of Indonesia. We welcome 
the delegation of Indonesia led by H.E. Mr.  Jerry Adhitya Ksatria Sambuaga, Vice Minister of Trade. 
We would also like to thank the WTO Secretariat and the Government of Indonesia for their excellent 
reports. Let us also extend our apprecia tion to the TPRB Chair and the d iscussant, Ambassador Angel  
Villalobos Rodriguez of Mexico for their insightful perspectives.  
4.277.   Thailand and Indonesia have enjoyed a long history of frie ndship and cooperation. With 
70 years of diplomatic relations, the two countries have become not only close strategic partners 
but also ASEAN Member States who share mutual interests on both regional and international issues. 
In view of bilateral trade, Indonesia is Thailand’s 7th largest trading partner in the world and 4th 
largest trading partner in ASEAN. Over the period from 2013  to 2019, the total bilateral trade showed 
an increasing trend and reached USD 18.2 billion in 2018. Presently, our bilateral trade remains 
robust, despite the pandemic.  
4.278.   On regional integration, Indonesia has made significant contributions within ASEAN, 
especially in the negotiations of the Regional Comprehensive Economic Partnership Agreement 
(RCEP), which is the world’s largest regional free trade agreement. We look forward to the entry 
into force of RCEP and believe that RCEP will effectively serve as a n economic recovery  platform in 
post COVID -19 era.  
4.279.   Thailand commends Indonesia for maintaining solid growth and the resilience of its economy 
by relatively strong fundamentals and sound macroeconomic policy since it last TPR despite global 
challenges. Thai land appreciates Indonesia’s ongoing efforts to trade and trade -related structural 
reforms in order to raise productivity and competitiveness. We also welcome Indonesia’s consistent 
efforts to liberalize and streamline its FDI regime.  
4.280.   Thailand highly valu es Indonesia as an active supporter of the multilateral trading system. 
We commend Indonesia for the ratification of the WTO Trade Facilitation Agreement in 2017 and for 
submitting timely notifications in several areas. We also welcome Indonesia’s construc tive 
engagement in the WTO negotiations on fisheries as well as the J oint Statement Initiatives on 
e-commerce and investmen t facilitation for development.  
4.281.   In this review, Thailand submitted a set of questions, covering the policies and measures of 
our inte rests, including import restrictions of some products through licensing and state trading 
requirements; and the regulation concerning import licensing requirements of horticultural product. 
Thailand thanks Indonesia in  advance for written responses.  WT/TPR/M/401  • Indonesia  
 
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  4.282.   In clo sing, Thailand would like to express our appreciation to Indonesia for the cooperation 
in every level and the friendly working relationship between our two Missions here in Geneva. We 
wish Indonesia every success in this TPR.  
TURKEY  
4.283.   We would like to join previous speakers in extending a very warm welcome to the delegation 
of Indonesia, headed by His Excellency Jerry Adhitya Ksatria Sambuaga, Vice Minister of Trade. We 
took note of his introductory remarks with great interest and we th ank the delegation of Indonesia 
for their comprehensive report. We also would like to thank the Secretariat for its report as well as 
our discussant , Ambassador Angel Villalobos Rodriguez of Mexico , for his insightful comments.   
4.284.   Being the world's fourth most populous nation, the world's 10th largest economy in terms of 
purchasing power parity, and a member of the G20, Indonesia is the largest economy in Southeast 
Asia. 
4.285.   As it is indicated in the reports, Indonesia is an emerging lower middle -income country, with 
a diversified economy in which the services and industrial sectors are the main contributors to 
country’s GDP and exports.  
4.286.   We are pleased to see that in the course of the review period, the Indonesian economy grew 
steadily at an average rate  of 5.1% per year. In addition, the unemployment rate fell to 5% in 2019, 
compared to 5.9% in 2014. On the other hand, GDP per capita continued to increase from USD 3,531 
in 2014 to USD 3,927 in 2018. This progress is the concrete outcome of the trade and trade -related 
structural reforms implemented by the Indonesian Government.  
4.287.   Despite all the challenges posed by the COVID -19 pandemic, we believe that the “National 
Medium -Term Development Plan 2020 -2024” adopted by the Government, will help Indonesia in 
reaching its macro -economic targets and implementing its national development strategies in the 
post-COVID period.  
4.288.   Indonesia is one of the largest trade partners of Turkey in the Asia -Pacific region. Turkey 
and Indonesia have unique and deep -rooted relations , despite their distance in terms of geography.  
4.289.   We value a close collaboration with Indonesia in various platforms. In this regard, two 
countries continue their fruitful cooperation in multilateral platforms, namely through G20, MIKTA, 
ASEAN, D -8 and SMII C. 
4.290.   As for our bilateral relations, we are particularly interested in collaborating in the areas of 
trade, industry and culture.  
4.291.   The Joint Economic and Technical Cooperation Committee was established between the two 
countries in 1982 and until now we had e ight meetings, the last one being held in 2017 in Jakarta. 
Indeed, these meetings present a useful tool to address and further strengthen bilateral trade 
relations.  
4.292.   We have a trade volume of USD 1,641 billion as of 2019, which obviously does not reflect 
the true potential of our economies and in achieving this, we defined a target of USD 3 billion trade 
volume in short -term through diversifying the current composition of bilateral trade on a mutually 
beneficial basis.  
4.293.   In addition, Turkish companies are kee n to take part in the infrastructure and investment 
projects in Indonesia. In order to foster mutual investments and promote bilateral investment 
opportunities, Turkey believes the importance of having a bilateral investment agreement as soon 
as possible.  
4.294.   As the report sets out, Indonesia has successfully made progress on preferential trade 
agreements during the review period. Turkey started Comprehensive Economic Partnership 
Agreement (CEPA) negotiations with Indonesia in 2017. We believe that conclusion o f this 
Agreement in the years to come will be extremely beneficial for both countries.  WT/TPR/M/401  • Indonesia  
 
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  4.295.   Before concluding, I want to thank Ambassador Hasan Kleib and Ambassador Syamsul for 
their active contributions to our work and their constructive engagement in the nego tiations under 
this roof.  
4.296.   We wish Indonesia a successful completion of its Seventh Trade Policy Review.  
INDIA  
4.297.   My delegation is pleased to participate in the 7th Trade Policy Review of Indonesia. On behalf 
of India, I would like to welcome the delegation o f Indonesia led by H.E. Jerry Adhitya Ksatria 
Sambuaga, Vice Minister of Trade and the Indonesian delegation to the WTO in Geneva for the TPR. 
We thank Jerry Adhitya Ksatria Sambuaga for his comprehensive opening statement, Ambassador 
H.E. Angel Villalobos  Rodriguez of Mexico, for hi s insightful observations as a d iscussant, and the 
Secretariat and the Government of Indonesia fo r the reports prepared for the R eview.  
4.298.   We are pleased to note from the Secretariat’s Report that despite the global challenges and 
the COVID -19 pandemic, Indonesia has witnessed solid growth and econ omic resilience, 
characteriz ed by strong fundamentals and sound macro -economic policy. We wish to complement 
the Government of Indonesia and its pe ople on their economic success.  
4.299.   India has  enjoyed close cultural ties with Indonesia, stretching back in time to at least two 
millennia. Indonesia is a key economic partner for India in Southeast Asia. It is also an important 
partner in our regional and plurilateral engagements, as a  member of G 20 and the ASEAN.  
4.300.   Closer political relationship and regular high -level exchanges have contributed to a new 
dynamism in our economic and commercial ties. Prime Minister Modi’s visit in 2018 not only helped 
deepen the co -operation in the existing areas but a lso paved the way for new areas of cooperation. 
The closer relationship between the two countries was further demonstrated in participation of the 
President of Indonesia H.E. Joko Widodo along with all ASEAN Heads of States as Chief Guests at 
the Republic Day celebrat ion of India in January 2018.  
4.301.   Both countries have been working towards a bilateral Comprehensive Economic Cooperation 
Agreement (CECA) and have set up a number of institutional mechanisms to promote closer 
economic co -operation, inducing a Joi nt Commission, JWG’s, Trade Minister’s Forum, a CEO’s Forum, 
an Energy Forum, Infrastructure Forum and a Trade and Investment Forum etc.  
4.302.   With bilateral trade of almost  USD 20 billion in 2019 -20, Indonesia is the second largest 
trading destination for India in the ASEAN region. The trade between the two countries has witnessed 
more than five -fold increase since 2005 -06 (USD  4.3 billion). Commodity exports constitute a 
growin g area of bilateral trade. India is one of the largest buyers of coal and crude palm oil from 
Indonesia and imports minerals, rubber, pulp and  paper and hydrocarbons reserves. India exports 
refined petroleum products, commercial vehicles, telecommunication  equipment, bovine meat, 
animal feed, agriculture products, s teel and plastics to Indonesia.  
4.303.   Beyond trade, our investment ties have grown rapidly with two -way investments in both our 
countries. There are about 30 major Indian investments in Indonesia wit h over USD  15 billion 
investments in infrastructure, power, textiles, steel, automotive, mining, banking and consumer 
goods sectors. All the prominent Indian business groups have strong presence in Indonesia. 
Similarly, a number of Indonesian companies are a lso present in India in the areas of agro products, 
processed food, transpor tation, logistics sectors etc.  
4.304.   We believe that there is immense potential for further expanding our economic ties and I 
take this opportunity to highlight some of the factors that  are acting as barriers in realizi ng the full 
potential of our co operation. But first, on a positive note, during the last TPR, India had raised the 
issue of bovine meat exports to Indonesia. We would like to acknowledge that due to the positive 
policy cha nges brought about by Indonesia in 2016, the export of India bovine meat has now become 
possible and is one of the growing areas of bilateral trade.  
4.305.   Having said tha t, as noted in the Secretariat r eport, the high levels of tariff and non -tariff 
barriers in Indonesia continue to pose a challenge to our exporters. Indian  agricultural products such 
as bitter gourd, pumpkin, table grapes, musk melon, p omegranate, honey , etc. continue to face WT/TPR/M/401  • Indonesia  
 
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  market access barriers due to delayed SPS procedures and the system of quotas etc. Similar 
challenges are faced by exporters of manufactured goods as well, in the area of automobiles, tyres 
etc. We are also concerned over the use of anti -dumping  duty on our exports including p olyeste r 
staple fibre, hot rolled c oil biaxially  oriented polyethylene terephthalate (BOPET) and y arn. We 
believe that these measures are not justified , and we request the Government of Indonesia to 
reconsider these measures that have u nfairly targeted our exporters.  
4.306.   A number of policies in the mining sec tor are adversely impacting Indian companies which 
have made substantial investments in the coal mining sector in Indonesia. These include a regulation 
requiring foreign investors to divest a minimum of 51% of their equity by the 10th year of production. 
Also problematic is the domestic market obligation which requires mining companies to sell 26% of 
their production locally. We hope Indonesia will take appropriate steps  to review these policies soon.  
4.307.   In the pharmaceutical sector, the requirement for foreign drug registration holders to set up 
production facility within two years of registration, lengthy and cumbersome registration procedures, 
an FDI cap on foreign companies are severe limiting factors. We encourage greater transparency, 
simplification  of procedures and liberalizatio n in the pharmaceutical sector.  
4.308.   Finally, our businesses and professionals continue to face difficulties due to the restrictive 
visa and work permit policies and it acts as a dampener on our businesses who wish to invest more  
and contribute to the growth of the Indonesian economy. We believe that simpler and easier visa 
policies will go a long way in enabling a positive bu siness climate in the country.  
4.309.   We are committed to strengthening trade and investment partnership with In donesia. We 
hope that though our engagements we can resolve our trade concerns and achieve mutually 
beneficial trade exchanges in the future. I would like to thank the Indonesian delegation for providing 
answers to the questions raised by us for the TPR, w hich w ill be reviewed by our Capital.  
4.310.   Before I conclude I wish to acknowledge and appreciate Indonesia’s active role in the WTO 
as coordinator of the G33 group, of whic h India is also a member. The G 33 proposal, under 
Indonesian leadership, was instrumenta l in securing a positive outcome on food security/PSH at the 
Bali Ministerial. We will continue to work closely with our Indonesian friends, both here in Geneva 
and in ou r respective capitals, to realiz e the vast potential of our trade and investment ties.  I wish 
our Indonesian friends a productive and successful TPR.  
KAZAKHSTAN  
4.311.   Kazakhstan is  pleased to participate in the s eventh Trade Policy Review of Indonesia.  
4.312.   Kazakhstan is closely monitoring the economic development of Indonesia and attaches high 
import ance to strengthening bilateral cooperation with Indonesia wishing to build a stronger 
economic and trade relationship.  
4.313.   Within this TPR exercise, Kazakhstan has raised a number of  important questions on a range 
of issues of specific interest, such as import licenses, services, government procurement, subsidies, 
and trade remedies. Kazakhstan looks forward to receiving replies from Indonesia to our concerns.  
4.314.   At the same time, Kazakh stan is very much interested in realizing its export opportunities 
on Indonesia’s market, particularly on the export of hot -rolled coil. In this regard, we urge the 
Indonesian Government to address the issue of anti -dumping measure on hot -rolled coil origi nating 
from Kazakhstan due to its incompatibility with WTO rules. We stand for bilateral consultations on 
this matter.  
4.315.   As I conclude, I would like to congratulate the delegation of Indonesia and the Secretariat 
of the WTO, for the hard work and efforts tha t went into preparing for this TPR. We wish the 
delegation of Indon esia every success for their s eventh Trade Policy Review.  
KINGDOM  OF SAUDI  ARABIA  
4.316.   The Kingdom of Saudi Arabia is very pleased to take part in the seventh Trade Policy Review 
of Indonesia an d wishes to extend a very warm welcome to the delegation of Indonesia headed by WT/TPR/M/401  • Indonesia  
 
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  H.E. Mr. Jerry Ksatria Sa mbuaga, Vice Minister of Trade. I would like to take this opportunity to 
thank Indonesia and the Secretariat of the WTO for their detailed and com prehe nsive Trade Policy 
Review r eports. I also thank the discussant H.E. Ambassador Mr. Ángel V illalobos Rodríguez  from 
Mexico for his insightful and perceptive comments.  
4.317.   Despite the Covid -19 crisis which disrupted business activity, weighed on domestic demand 
and decreased investment appetite, the Indonesian economy remained resilient; sustained by 
responsive macroeconomic policies; and diversified production. The annual average GDP growth rate 
stood at 5.1% in 2019.  
4.318.   Indonesia is to be commended for its large-scale fiscal and monetary stimulus to help 
protecting businesses and consumers facing the impact of COVID 19 and to support the economic 
activity.  
4.319.   Indonesia is also to be commended for its Masterplan for the Acceleration and Expansion of 
Economic Developme nt of the country which confirms the importance of productivity, innovation, 
and trade in achieving economic growth and provides the building blocks to transform Indonesia into 
one of the 10 major economies in the world by 2025.  
4.320.   The Kingdom of Saudi Arabi a is happy to congratulate Indonesia for undertaking important 
trade and investment -related reforms to ensure regulatory environment for businesses and 
investment and encourage more competition in the domestic market to increase the resilience of the 
econo my and its ability to cope with external competition.  
4.321.   Saudi Arabia and Indonesia enjoy a brotherly and substantive relationship, underpinned by 
commercial ties and supported by shared membership in the G20 and the Organization of the Islamic 
Conference. Tr ade with Indonesia has increased dramatically in recent decades. The t otal bilateral 
trade surpassed USD 4.61 billion in 2019. During the period of review, several official visits between 
political and business leaders from both countries were conducted to  explore further opportunities 
for cooperation to increase two -way trade and investment particularly in the sector of energy, 
development of private sector, especially small and medium enterprises, and tourism.  
4.322.    The Kingdom of Saudi Arabia has submitted qu estions to Indonesia about regulatory impact 
assessment. We thank Indonesia for answering these questions.  
4.323.   We welcome Indonesia's continued positive efforts with the example of its own economic 
development and in the multilateral context.  
4.324.   To conclude, I wi sh the Indonesian delegation a very successful Trade Policy Review.  
CHINA  
4.325.   China would like to join others in welcoming  the delegation of Indonesia, led by His 
Excellency  Mr. Jerry Adhitya Ksatria Sambuaga, to this TPR and would also like to express o ur 
appreciation to the d iscussant, Ambassador of Mexico , for the detailed report and insightful 
comments , and also the S ecretariat’s efforts and contributions to this TPR.  
4.326.   China and Indonesia enjoy a close  economic relationship , which is underpinned by a rapid 
growth in bilateral trade and investment flows. China has been, for nine consecutive years, the 
largest trade partner of Indonesia and ranked in the top three foreign investors of Indonesia since 
2016. Despite the world trade fell s harply this year due to the COVID -19 pandemic, the bilateral 
trade and investment between China and Indonesia remains stable, with a  6.3% export increase 
from Indonesia to China and 79% growth of China’s FDI to Indonesia for the  period of January to 
Septem ber 2020.  
4.327.   We commen d Indonesia’s active role in the WTO, especially the leading role Indonesia has 
played in the agricul ture negotiations, such as the C hairmanship of G33. China welcomes Indonesia’s 
participation on the joint initiatives, especially its ac tive engagement on the Joint initiative on 
Investment Facilitation for Development. We also recognize Indonesia’s 88.7% Trade Facilitation 
Agreement implementation commitments to date across all categories .  WT/TPR/M/401  • Indonesia  
 
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  4.328.   We note Indonesia’s active participation in the FTA negotiations and in the regional 
integration.  We would like to take this opportunity to specifically commend Indonesia’s active 
engagement in the Regional Comprehensive Economic Partnership negotiation and its contribution 
to bring this negotiation to a successful conclusion after 8 years of negotiations. This demonstrates 
Indonesia’s firm belief in trade liberalization and openness, especially during the time when the 
global trade is suffering unilateralism and protectionism. We are looking forward to the RCEP early 
entry into force and believe this will vigorously boost confidence in regional trade and investment, 
hasten the economic recovery and bring significant opportunities and benefits to other countries 
both in and outside of the region.  
4.329.   We welco me Indonesia’s efforts on promoting trade openness and creating more friendly 
climate for foreign investments, such as the recently passed Omnibus Law on Job creation. In the 
meantime,  we would like to encourage  Indonesia to take further measures to improv e the business 
environment, with the hope that Indonesia could further reduce and eliminate import restrictions, 
especially on agriculture products, resort to trade remedy measures in a more prudent manner, 
enhance  the transparency, predictability and stab ility of trade and investment policies , and 
streamline  the working visa process for investors.  We believe such measures will further make 
Indonesia more attractive to the business.  
4.330.   Finally, we look forward to receiving Indonesia’s responses to our questions and wish 
Indonesia a full successful Trade Policy R eview.  
ICELAND  
4.331.   Iceland welcomes Honorable  Jerry Adhitya Ksatria Sambuaga, Vice Minister of Trade and the 
distinguished delegation of Indones ia to their seventh trade policy review – and we express 
appreciation to the WTO Secretariat, as well as to Indonesia, for the reports prepared for this trade 
policy review, as well as the discussant, Ambassador Ángel Villalobos Rodriguez from Mexico for h is 
excellent framing of the issues for our discussion today.  
4.332.   Prior to the COVID -19 pandemic, Indonesia had been experiencing solid economic growth 
and average GDP growth rate of 5.1%. Iceland welcomes the various initiatives undertaken by 
Indonesia for raising productivity and competitiveness and promoting economic diversification.  
4.333.   Among these initiatives Indonesia has undertaken several bilateral free trade negotiations. 
In 2018 The EFTA States, Iceland, Norway, Liechtenstein and Switzerland signed a Comprehensive 
Economic Partnership Agreement (CEPA) with Indonesi a. This is a very important agreement for the 
EFTA states.  Merchandise trade between the EFTA States and Indonesia amounted to USD 1.8 billion 
in 2018. Bilateral trade between Iceland and Indonesia has been steadily increasing in the last years 
and will n o doubt continue to do so after the entry into force of the agreement.  
4.334.   As the impact of the COVID -19 pandemic are still unfolding, new challenges arise related to 
trade and trade -related activities. It is now widely recognized  that women are likely to be harder hit 
than men by trade disruptions caused by the pandemic.  
4.335.   In September 2020, a group of WTO Members agreed to establish an Informal Working 
Group on Trade and Gender, marking the next phase of an initiative kick started  in 2017 to increase 
the part icipation of women in trade.  
4.336.   The Trade Policy R eview provides an excellent opportunity to share best practices of 
respective experiences relating to policies and programs to encourage women's participation in 
national and international trade and thus prom oting sustainable socioeconomic development.  
4.337.   Iceland submitted advance written questions on the participation of women in the economy 
of Indonesia. The answers will be useful as we gather best practices.  
4.338.   Iceland appreciates Indonesia’s active engagement i n WTO and their continued support for 
the multilateral trading system. We wish the delegation of Indonesia e very success for their seventh 
Trade Policy R eview.  
  WT/TPR/M/401  • Indonesia  
 
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  CAMBODIA  
4.339.   My delegation joins other to e xpress our warmest welcome the d elegation of Indonesia led 
by H.E Mr. Jerry Adhitya Ksatria Sambuaga, Vice Minister of Trade of Indonesia. Our thanks also go 
to H.E Ambassador Ángel Villalobos Rodríguez  of Mexico for his insightful assessment reflecting the 
current trade policies and economic performance of In donesia. We also thank the Trade Policy 
Review Division and Indonesia for their reports for this review.  
4.340.   Cambodia associates itself with the statement made Malaysia on behalf of ASEAN Member 
States.  
4.341.   We acknowledge the important and active role of Indones ia in the ASEAN region especially 
the role of Indonesia in supporting Cambodian membership to ASEAN in 1999 and its role towards 
to the successful conclusion and signing of the Regional Comprehensive Economic Partnership 
Agreement. We also acknowledge the good performances and efforts of Indonesia including the 
reforms.  
4.342.   We would also like to congratulate Indonesia for maintaining its remarkable GDP growth at 
5.1% since its last review.  
4.343.   Cambodia and Indonesia have shared a close political, cultural, and hi storical relationship. 
We established diplomatic relations on 13 February 1959. Last year, we joint memorial activity to 
celebrate the 60th Anniversary of our diplomatic relations. Cambodia and Indonesia had agreed to 
strengthen relations through the enhan cement of bilateral mechanisms, aimed at improving 
economic cooperation in the investment, trade, and tourism sectors. We have signed the income tax 
treaty in 2017 and it entered into force on 28 July 2020. The provisi on generally take s effect from 
1 Janua ry 2021. I would like to take this opportunity to express our appreciation and thanks to 
Indonesia for its consistent helps including its role to bring peace and prosperity to Cambodia 
through the 1991 Paris Peace Accords.  
4.344.   Trade between the two countries was around USD 792 Million in 2019, it increased by 46% 
compared to 2018 which was about USD 543 Million. Cambodia’s exports to Indonesia was about 
USD 22.3 million in 2019 , it increased by 4% compared to 2018 and imports about USD 770 million, 
an increase  of 47% in the same period. Cambodia mainly exports apparel, rice, rubber and footwear 
to Indonesia while importing drugs, food, beverages, motorcycles and personal care products from 
Indonesia.  
4.345.   In the context of the WTO, we thank and appreciate the deleg ation of Indonesia in Geneva 
led by ambassador Grata Endah Werdaningtyas and Ambassador Syumsul Barhi Siregar, for their 
friendship and good cooperation. We commend Indonesia for putting its efforts and active 
participation in supporting the rules-based multilateral trading system. I particularly appreciate 
Indonesia for its endorsement for LDC members to benefit from the aid for trade scheme and we 
note that Indonesia has already given aid for trade to a few LDCs through the South -South 
Cooperatio n mechanism. We would encourage Indonesia and other Members to provide aid for trade 
and other technical assistances to LDCs to encourage our integration into the world trading system 
especially during this COVID -19 Pandemic.   
4.346.   As we all know , Indonesia ha s introduced some measures and policy responses to the 
COVID -19 Pandemic. In this connection, Cambodia has submitted a question concerning Indonesia's 
investment framework on the "After Care" mechanism. We would als o like to thank in advance for 
Indonesia’ s written responses.  
4.347.   Finally, we commit to working closely with Indonesia to strengthen the cooperation including 
the works of the WTO and we wish Indonesia a successful 7th Trade Policy Review.  
COSTA  RICA 
4.348.   On behalf of the Government of Costa Rica, I woul d like to warmly welcome the delegation 
of Indonesia, headed by H.E. Mr Jerry Sambuaga, Vice Minister of Trade, as well as the team from 
the Permanent Mission of Indonesia to the WTO, which we thank for their report and for this 
morning's presentation. I w ould also like to thank the discussant, Ambassador Villalobos of Mexico, WT/TPR/M/401  • Indonesia  
 
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  for his valuable remarks, and the WTO secretariat for its report and for its work, which has been as 
valuable as ever.  
4.349.   Turning now to the subject of this meeting, as a founding Member  of the WTO, Indonesia 
has played a leading role in shaping the system and continues to be a key player in the negotiations 
to reform the WTO, especially in the area of agriculture. In this area, Costa Rica and Indonesia share 
a common view on the importan ce of agricultural trade as a source of employment and prosperity 
and, together with other Members of the Cairns Group, in January this year we launched an 
innovative proposal for a domestic support negotiating framework for MC12. We invite other 
Members t o join us in forging new areas of consensus in agriculture.  
4.350.   Likewise, Costa Rica agrees with Indonesia on the importance of supporting the review 
processes aimed at facilitating the better operation and implementation of the Agreement on 
Sanitary and Phyto sanitary Measures, particularly due to the impact of this type of measure on trade 
in tropical products.  
4.351.   Costa Rica also welcomes Indonesia's incorporation into the Joint Statement on E -commerce, 
its participation in the Working Group on MSMEs and its active involvement in the fisheries subsidies 
negotiations, an area in which we should push for concrete results as soon as possible. We also hail 
Indonesia's ratification of the Trade Facilitation Agreement in December 2017 and the notification of 
its cat egories of commitments to implement the TFA and its transparency obligations in 2018.  
4.352.   Domestically, Indonesia has enjoyed sound macroeconomic management since its last Trade 
Policy Review. According to the Secretariat report, prior to the pandemic, the cou ntry showed annual 
growth rates close to or above 5%, with a dynamic labour market, a falling unemployment rate of 
around 5%, low inflation and a fiscal environment with a manageable fiscal deficit. We commend 
the refocusing of public expenditure from inef ficient energy subsidies towards productive 
infrastructure investment, as well as the Indonesian Government's efforts to liberalize and simplify 
its FDI regime.  
4.353.   In the area of trade, Indonesia's relationship with its trading partners is highly dynamic 
thanks to successful bilateral and regional trade agreements. The Secretariat's report highlights the 
simple tariff structure with ad valorem  rates in 99.8% of cases. On the other hand, there is a high 
degree of uncertainty in the tariff, due to the non -bindin g of 10.5% of tariff lines and the increase 
in the tariffs applied in recent years. It is noteworthy that 99 tariff lines are above their bound rates. 
In this regard, we urge Indonesia to improve the predictability of its tariff system and to align its 
tariff with its WTO bound commitments.  
4.354.   Indonesia also faces significant long -term challenges, including taking advantage of its 
demographic dividend through bold education policies that increase the population's productivity 
and innovation capacity. The coun try is also facing structural rigidities that limit its ability to actively 
benefit from greater integration into global trade. We therefore welcome the Indonesian 
Government's efforts to implement the Trade Facilitation Agreement, simplify and streamline the 
regulatory regime, especially for small businesses, and diversify the economy. On the other hand, 
we note that Indonesia continues to employ prohibitions, restrictions, export taxes, export licensing 
and other border measures as policy instruments havi ng a bearing on trade and investment. We 
urge Indonesia to review these measures so as to ensure that a trade facilitation approach is 
maintained whenever possible.  
4.355.   Costa Rica did not submit any questions under this review. However, we maintain a strong 
interest in the domestic policies that Indonesia is developing in the areas of FDI attraction, 
agricultural sector development, and the promotion of service exports, including the tourism sector. 
We shall continue to follow closely its implementation of clim ate change adaptation policies, 
especially those addressing agricultural, fisheries and energy sustainability.  
4.356.   Lastly, I would like to thank Indonesia once again for its report and for today's presentation. 
We wish the country every success in this seventh  Trade Policy Review.  
  WT/TPR/M/401  • Indonesia  
 
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  VIET  NAM 
4.357.   On behalf of Viet Nam’s delegation, I would like to extend our warmest welcome to the 
distinguished delegation of the Republic of Indonesia led by His Excellency Jerry Adhitya Ksatria 
Sambuaga, Vice Minister of Trade. I wou ld like to thank the Government of Indonesia and the WTO 
Secretariat for the preparation of comprehensive reports for this Trade Policy Review, especially 
under the circumsta nces of the COVID -19 pandemic. My thanks also go to discussant H.E. Ángel 
Villalobos  Rodríguez , Ambassador, Permanent Representative of Mexico , for the insightful 
observations and introduction.  
4.358.   Viet Nam associates itself with the ASEAN statement delivered by Malaysia and would l ike to 
add the following point s. 
4.359.   First, Viet Nam commends Indonesia and wishes to highlight the advancements Indonesia 
has made during the review period. As noted by the WTO Secretariat in its report, Indonesia is the 
largest economy in Southeast Asia (accounting for 35% of the region' s GDP). With the 4th biggest 
world population, Indonesia has performed well and enjoyed sound economic growth over the past 
six years, with an average annual GDP growth rate of 5.1% from 2013 to 2019, despite the 
increasing global uncertainties, trade tens ions.  
4.360.   Second, bilaterally , Indonesia has been one of the most signi ficant trading partners of 
Viet Nam within the ASEAN bloc in rece nt years. In the period of 2013 -2019, our bilateral trade 
turnover grew 9. 4% year on year. Viet Nam’s major export items to  Indonesia are iron and steel of 
all types, machinery, equipment, components, other spare parts, textiles, leather and footwear 
materials, just to name a few. Viet Nam’s imports from Indonesia mainly vegetable and animal oils, 
coal of all types; iron and s teel.  
4.361.   In the first 10 months of 2020, the bilateral trade has seen a considerable drop, with the 
total amount of USD 6.53 billion , or 12. 3% less than the same period in 2019. The key reason for 
the drop has been the COVID -19 pandemic. However, a number of  measures taken by Indonesia 
also raised some concerns. Within the ASEAN framework, Viet Nam, is working closely with Indonesia 
to find solutions for these issues.  
4.362.   Third, from regional integration and co -operation perspective, we would like to thank the 
Government of Indonesia for the close and efficient cooper ation, particularly with ASEAN m ember 
States as well as the other 5 partner countries for the recent conclusion of negotiations and signing 
of the Regional Comp rehensive Economic Partnership (RCEP) A greement on 15 November 2020, 
which sent a clear message on the region’s determination to continue trade liberalization. We hope 
that implementation of the RCEP Agreement will facilitate the development of the regional supply 
chains as well as contribute t o the socio -economic recovery from the COVID -19 pandemic’s impacts.  
4.363.   Fourth, on the multilateral front, we would like to commend Indonesia’s constructive efforts 
in defending and preserving the multilateral trading system, in particular upholding its WTO’s 
obligations and commitments, and actively participating in various multilateral and plurilateral 
negotiations.  
4.364.   And last but not least, I would like to take this opportunity to commend Ambassador Syamsul 
Bahri Siregar and his able team for the excellent pre paration for this R eview, as well as their 
constructive contribution and engagement in the WTO activities. We wish Indonesia a successful 
Trade Policy Review.  
LAO PDR 
4.365.   At the outset, Lao PDR associates itself with the statement made by Malaysia  on behalf of  
ASEAN.  
4.366.   It is a great pleasure to welcome H.E. Dr Jerry Sambuaga, Vice Minister of Trade of Indonesia 
and his delegation for its Trade Policy Review.  WT/TPR/M/401  • Indonesia  
 
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  4.367.   Lao PDR would like to sincerely commend Indonesia for the excellent performance in terms 
of maintaining st rong Economic growth, which has been steady increasing by an annual average 
rate of 5.0% per year in the period of 2015 -2018.  
4.368.   Lao PDR also congratulates Indonesia  for its important role in the multilateral trading s ystem, 
especially for its active particip ation in all activities including the important work which is the priority 
to ASEAN framework. We commend and thank the delegation of Indonesia in Geneva led by 
H.E. Ambassador Syamsul Bahri Siregar and his team for their good cooperation and excellent har d 
work.  
4.369.   Lao PDR and Indonesia have developed bilateral, friendship and cooperation and have 
reached an agreement in enhancing relations to focus on exploring the potential of both nations to 
cooperate on trade and investment. The two sides have also worke d together in cooperation with 
other ASEAN nations to ensure a great success of ASEAN Economic Community implementation.  
4.370.   Regionally, we have worked together on many efforts towards ASEAN's economic 
integration, both internally and externally in the negotiations of trade agreements.  
4.371.   As for the multilateral level, Indonesia is a reliable partner. It is clear that we share sim ilar 
perspectives on trade liberalization , and it is of the view that Indonesia has played outstanding role 
in contributing for an importance of a rules -based multilateral trading system.  
4.372.   We are of the view that this TPR will provide an important opportuni ty for Indonesia to review 
its trade policy in making a great achievement for the international trade and also to provide an 
important platform for Lao PDR to explore the possibility in improving bilateral trade relation with 
Indonesia.  
4.373.   Lao PDR is confident that Indonesia will achieve its target to reach the economic expansion 
of 2020 to 2024 and we hope that Indonesia will be able to increase its Ease of Doing of Business 
(EoDB) from rank 73 in 2018 to Rank 40 in 2024 by its structural reform effor ts, particularly in 
addressing deregulation of Investment Procedure.  
4.374.   In conclusion, we would like to commend and thank Indonesia for the close cooperation 
between our two Missions here in Geneva and wish Indonesia a great succes s for its Trade Policy 
Revie w.  
MAURITIUS  
4.375.   Let me start by welcoming the delegation of Indonesia, led by H.E. Sambuaga, Vice Minister 
of Trade, and congratulating his team for the seventh TPR of their country. I also wish to seize this 
opportunity to thank both Ambassador Aspelund, Ch air o f the TPRB, and the discussant, 
H.E. Mr. Angel Villalobos Rodriguez for kick starting the discussions today by their interesting 
statements which highlighted the salient features of the trade policy measures taken by Indonesia 
during the period under review and the proactive role in the multilateral trading system.  
4.376.   My thanks also go to all colleagues at the Secretariat for ensuring that the WTO continues 
to play its role of monitoring trade policies of its members despite the difficult conditions due t o the 
COVID -19 pandemic. At a time when the world is still struggling with the consequences of the 
pandemic, a rule -based multilateral trading system remain crucial for predictability and 
transparency.  
4.377.   The Mauritius delegation notes that the recent economi c progress of Indonesia rests on trade 
related structural reforms, enhancement of industrial competitiveness, and improvement of 
investment climate among others.  We, therefore, commend the positive trade policy measures taken 
by Indonesia during the period  under review and its adoption of good regulatory practices including 
regulatory impact assessment policies.  
4.378.   We appreciate the continuous efforts of the Indonesian authorities to implement the Trade 
Facilitation Agreement and the introduction of relevant r eforms to improve cross border trade which 
has proved to be crucial during the pandemic and remain so for post pandemic recovery.  WT/TPR/M/401  • Indonesia  
 
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  4.379.   The Mauritian d elegation is also pleased to note that Indonesia has acceded to several IP 
related treaties including the Madri d Agreement concerning the Intern ational Registration of Marks. 
As a small island developing state, Mauritius believes that intellectual property can be a tool to drive 
innovation and creativity that would contribute to economic development. Mauritius look s forward 
to the cooperation of Indonesia in our endeavour towards promoting innovation.  
4.380.   As indicated in the R eport, we recognize that Indonesia is facing some challenges. While we 
understand that import restrictions are put in place to address legitimate public interests, sometimes 
licences could also represent an unnecessary barrier to trade, we encourage Indonesia to consider 
relaxing certain licensing requirements to facilitate trade flows.  
4.381.   Relations between Mauritius and Indonesia date back to at least  the seventeenth century 
when Adrian Van D er Stel, a Dutch settler brought red sugarcane to the island of Mauritius from 
Java. This had a huge influenced on our countries socio -economic fabric subsequently as decades 
later sugar sold in the international m arket became our main foreign exchange earner and the engine 
of our country’s economic growth. More recently, trade exchange has witnessed very encouraging 
signs as the value of trade has almost doubled over the last five years, the balance being largely i n 
favour of our Indonesian friends though.  
4.382.   We look forward to further deepening our ties with Indonesia on the  bilateral and regional 
fronts.  In this regard, we hope that the recently concluded visa exemption agreement would further 
facilitate movement of people, including businessmen, and help boost trade and investm ent between 
our two countries. The Preferential Trade Agreement being negotiated, currently, will no doubt add 
a very strong pillar to our relations.  Furthermore, as Africa looks forward to ups caling its engagement 
with major partners, especially following the recently launched African Continental Free Trade Area, 
we hope that Indonesian businesses will establish regional value chains, with Mauritius being a 
strong link in this context.  
4.383.   Let me c onclud e by wishing the d elegation of Indon esia a successful and fruitful R eview.  
AFGHANISTAN  
4.384.   Afghanistan extends its gratitude to you and the Secretariat for convening this meeting and 
for preparing the comprehensive report. I would like to thank our discussant Ambassador Ángel 
Villalobos Rodríguez  of Mexico, for his insightful remarks and welcome  Indonesia’s capital and 
Geneva -based delegates to the meeting, led by H.E. Jerry Sambuaga.  
4.385.   In particular, we wish to extend our congratulations to Indonesia for its 7th Trade Policy 
Review, especially, to His Excellency Ambassador Hasan Kleib, Permanent R epresentative of the 
Republic of Indonesia to the UN, WTO and other International Organizations in Geneva, and his 
competent team for their contribution and constant good work here in Geneva. I would also like to 
take this opportunity to congratulate Ambas sador Kleib for his appointment as the Deputy Director 
General for Regional and National Development Sector of the World Intellectual Property 
Organization.  
4.386.   My delegation commends Indonesia for presenting its comprehensive trade policy report. We 
are impre ssed to note that between 2015 -2018, the expansion of domestic economic activities 
resulted in the creation of an additional 9 million jobs, the unemployment rate fell to 5.34% in 2018, 
and the GDP per capita continued to increase from USD 3,531 in 2014 to  USD 3,927 in 2018.  
4.387.   The steady economic growth of Indonesia with an average rate of 5.0% per year is 
impressive, which is the result of the implementation of various structural reforms, including policies 
that improve the investment climate, enhance indust rial competitiveness, upgrade logistics 
efficiency, stimulate export, promote tourism, and strengthen people's purchasing power. We are 
pleased to note that despite the ongoing global economic turmoil that has caused a reduction in 
trade volume and slowed down economic growth, the Indonesian economy managed to demonstrate 
a positive performance up to the first semester of 2019.  
4.388.   We thank Indonesia for their support and assistance with Afghanistan in various sectors, 
including technical training, infrastructu re, women’s empowerment, higher education and diplomats WT/TPR/M/401  • Indonesia  
 
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  training. In 2012, our countries signed a treaty of friendship to promotes cooperation in political, 
economic and trade, academic, education and cultural sectors.  
4.389.   I would also like to take this opport unity to highlight Indonesia’s positive role in emerging 
economic and trade -related issues of importance to the developin g country Members and the 
least-developed country Members, within the WTO. We join Indonesia in encouraging Members to 
continue negotia ting the Doha Development Agenda as mandated. We also thank Indonesia for their 
participation in aid for trade initiative both as a recipient and donor.  
4.390.   I conclude my statement by wishing Indonesia’s delegation a very successful and productive 
Trade Policy  Review.  
MYANMAR  
4.391.   Myanma r aligns itself with the ASEAN s tatement made by Malaysia.  
4.392.   I also wish to express our appreciation to His Excellency Ambassador Rodríguez of Mexico 
for his introductory s tatement on Indonesia’s T PR and the Secretariat for its compre hensive r eport.  
4.393.   Indonesia is one of the Founding Members of ASEAN in 1967. Indonesia has been playing a 
pivotal role in the advancement of our regional organization ever since.  
4.394.   Indonesia also led a crucial role in charting ASEAN common positions on various  global issues 
of common interest, and strengthening ASEAN as a rules -based regional organization.  
4.395.   During the Indonesia’s ASEAN Chairmanship back in 2011, the ASEAN Roadmap for the 
Attainment of the Millennium Development Goals, the ASEAN Framework for Eq uitable Economic 
Development, and the ASEAN Framework for Comprehensive Economic Partnership were adopted to 
the benefit of our peoples.  
4.396.   Most significantly, the ASEAN Framework for RCEP charted the General Principles to involve 
broader and deeper engagemen t with Dialogue Partners and further enhance economic integration 
and cooperation based on mutual interest, transparency and best practices.  
4.397.   Indonesia also played a leading role in ASEAN towards the conclusion and signing of the 
Regional Comprehensive Economic Partnership Agreement (RCEP) on 15 November 2020.  
4.398.   The RCEP will encompass a greater market of 2.2 billion p eople, and a combined GDP of  
USD 26.2 trillion, which is 30% of the world’s GDP.  
4.399.   Myanmar and Indonesia celebrated the 70th anniversary of our diplomatic relations last year, 
and will continue to cherish and maintain our friendly relations and mutual beneficial cooperation.  
4.400.   In bilate ral trade, major exports from Myanmar to Indonesia are metals, minerals, garments 
and agricultural products whereas the major import items from Indonesia are palm oil, motor 
vehicles and spare parts, machineries, medicines, iron and steel products.  
4.401.   There still exist potentials to further expand in agri -business, animal husbandry, food and 
beverage, construction material, textile and handicrafts.  
4.402.   Bilateral trade between our two countries was amounted to USD 1 billion in 2018, which 
reflected the milestone a nd new chapter of Myanmar -Indonesia trade relations.  
4.403.   According to the Statistics for the year 2019 -2020, Indonesia ranks the 8th major trading 
partner of Myanmar and the 13th major investor in the country.  
4.404.   We wish to commend and congratulate Indonesia for its firm commitment towards the 
multilateral trading system.  WT/TPR/M/401  • Indonesia  
 
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  4.405.   For instance, Indonesia has been, over the years, pro -active in WT O negotiations in the areas 
of agriculture, non -agriculture market access, trade and environment, trade facilitation, fisheries, 
e-commerce and investment facilitation for d evelopment, among others.  
4.406.   Most significantly, the WTO Ninth Ministerial Conference, held  in Bali, Indonesia in 
December  2013, concluded on the milestone Trade Facilitation Agreement.  
4.407.   We are greatly impressed by the Vision 2045 of Indonesia, in commemorating the 100th 
anniversary of its Independence, to become an advanced, prosperous and developed Nation.  
4.408.   We are confident that with all its concerted efforts, Indonesia will achieve this goal by 2045.  
4.409.   We look forward to working closely with Indonesia in bilateral, regional and multilateral arena 
to the benefit of our peoples.  
4.410.   Before concluding, allow me to express our appreciation to H.E. Pak Hassan Kleib, H.E. Pak 
Syamsul Siregar and the Indonesian del egation for their active engagement and contribution d uring 
the TPR.  
4.411.   We also wish you all the best for a successful conclusion of the seventh Trade Policy Review.  
JAMAICA  
4.412.   Jamaica is pleased to be participating in this Seventh Trade Policy Review of Indones ia, and 
wishes to extend, at the outset, a warm welcome to the distinguished delegation of Indonesia led 
by His Excellency Mr. Jerry Sambuaga, Vice Minister for Trade. In addition, we thank Indonesia for 
the presentation of its insigh tful and comprehensive  Report. We further wish to convey our sincere 
appreciation to you Chair, to the WTO Secretariat, as well as to our d iscussant, Ambassador 
Villalobos Rodriguez of Mexico, for your valuable contributions to his process.  
4.413.   Jamaica commends Indonesia for the pr ogress made  since its last review in 2013.  Despite 
external challenges, the Indonesian economy grew, during the reporting period, at an average of 
5% per annum which was unprecedented for developing countries globally. This was as a result of 
the strong ma croeconomic and fiscal policies pursued by the G overnment, as well as key structural 
reforms. In addition, actions taken by the G overnment to improve the investment climate, enhance 
industrial competitiveness, upgrade logistics efficiency, stimulate export s and to boost the services 
sector  - which is the country’s main economic driver, are also positively acknowledged. We note that 
based on these factors, the fall -out from the COVID -19 pandemic is expected to be a minimal 1%, 
with the Indonesian economy set  to rebound by 5.3% in 2021.  
4.414.   Jamaica greatly values the bonds of friendship and cooperation which it shares with 
Indonesia. In the field of trade, Jamaica’s major imports from Indonesia consisted primarily of food 
items, chemicals and manufactured goods. There is however strong interest to bolster the existing 
trade exchange with Indonesia, including through increased exports of Jamaican niche sauces, 
condiments and other food products, as well as through fostering enhanced collaboration in the 
agriculture , agri -business, and the Information and Communications Technology sectors.   
4.415.   As a result of Indonesia’s positive economic performance and resilience, the country, which 
is the largest economy in Southeast Asia and 10th in the world in terms of purchasing power parity, 
was reclassified by the World Bank as an upper -middle income country in July 2020. As outlined in 
its national development Plan, Indonesia is also seeking to achieve developed country status by the 
time of its centenary celebration in 2045. We take positive note of the important role played by 
governmental policy and reforms, including in the area of trade, in providing an enabling 
environment and furthering Indonesia’s growth and development objectives.  
4.416.   As a founding M ember of the WTO, Indon esia has increasingly sought to fulfil its 
corresponding obligations and has remained activ ely engaged in the work of the Organiz ation, 
including on issues relating to services, agriculture, fisheries and non -agricultural market access, 
among others.  WT/TPR/M/401  • Indonesia  
 
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  4.417.   Jamai ca joins in congratulating Indonesia on the establishment of its National Committee on 
Trade Facilitation, as well as on its ongoing efforts to advance the implementation of the Trade 
Facilitation (TF) Agreement and its related provisions. We further note the p rogress made by the 
Indonesian G overnment to strengthen its domestic regime for the protection of intellectual property 
rights, including through the development of a database for genetic resources and traditional 
knowledge.  
4.418.   Indonesia has also been s eeking to increase its participation in the negotiation of a range of 
bilateral and regional free trade agreements with key partners within ASEAN and beyond. However, 
more needs to be done to strengthen the openness of the Indonesian economy to internation al trade 
and to facilitate its enhanced integration into global value chains. We also note for commendation, 
the efforts undertaken by Indonesia, during the review period, to liberalize  and streamline the 
regulatory and other aspects of its Foreign Direct Investment regime, and urge that these be 
continued.  
4.419.   In conclusion, Jamaica once more commends Indonesia on its r eport and extends best wishes 
to the delegation for a successful Review.  
EGYPT  
4.420.   Egypt joins others in extending a very warm welcome to the estee med delegation from 
Jakarta, headed by His Excellency Mr. Jerry Adhitya Ksatria Sa mbuaga, Vice Minister of Trade. We 
thank the Government of Indonesia and the WTO Secretariat for their comprehensive reports, as 
well as His Excellency Ambassador Angel Villalobos Rodríguez  (of Mexico) for his insightful remarks 
as discussant.  
4.421.   Egypt wishes to highlight Indonesia’s commendable macroeconomic performance during the 
review period. The WTO Secretariat’s report indicates that Indonesia achieved strong annual GDP 
growth at an average of 5.1, while slashing inflation to less than half compared to 2013, reducing 
unemployment, narrowing current account deficits, and increasing foreign exchange reserves.  
4.422.   Much of this success owes to implementing sound macroeconomic policies coupled with 
several trade -related structural reforms to enhance productivity and competitive ness, including 
though improving the investment climate, accelerating infrastructural development and encouraging 
economic diversification. Also, the measures taken to help mitigate t he adverse impacts of the 
COVID -19 pandemic in Indonesia, are also expect ed to contribute to the pro spects for a sturdy 
recovery.  
4.423.   Egypt acknowledges Indonesia’s continu ed commitment to the multilateral trading s ystem. 
The WTO Secretariat’s report highlights a few examples in this regard, such as ratifying the Trade 
Facilitation  Agreement in December 2017 and implementing several relevant measures in conformity 
with the agreement. In addition, Indonesia continued submitting notifications regarding 
developments in its trade -related policies.  
4.424.   Moreover,  Indonesia’s commitment to th e multilateral trading s ystem is demonstrated by its 
constructive engagement in various WTO negotiations, as well as its leading r ole as the coordinator 
of the G 33 in agriculture negotiations. Nonetheless, Egypt notes Indonesia’s imposition of applied 
tariffs that exceed its bound tariffs for a number of tariff lines, and we encourage Indonesia to 
comply with its commitment s under Article 2 of the GATT.  
4.425.   Egypt and Indonesia enjoy profound political, economic and cultural relations. Our strong 
commercial ties  are reflected in steady values of bilateral trade. In 2018, bilateral trade exceeded 
USD 1.1 billion, with Egyptian non -oil exports to Indonesia witnessing a 19% increase compared to 
2017. However, 2019 witnessed a slight dip in bilateral trade and Egypti an exports to Indonesia by 
1.6% and 2.2% , respectively.   
4.426.   We believe that much potential remains untapped. In this context, Egypt invites Indonesia 
to review Regulation N o. 39 of the Minister of Agriculture concerning Horticultural Product Import 
Recommend ation, with a view to facilitate and accelerate the importation process, in order not to 
impose additional burden on exporters, especially from developing countries.  WT/TPR/M/401  • Indonesia  
 
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  4.427.   Egypt looks forward to strengthening bilateral cooperation between both countries, 
particu larly through advancing commercial and investment relations, to mutually reinforce our 
development priorities.  
4.428.   Finally, Egypt applauds Indonesia for its impressive overall economic performance in recent 
years, and wis hes its delegation a successful and  fruitful Trade Policy Review.  
BRUNEI  DARUSSALAM  
4.429.   I would like to begin by welcoming the delegation from Indonesia, and in particular Vice 
Minister for Trade, Mr. Jerry Sambuaga, the head of delegation, for his presentation. I would also 
like to thank the Secre tariat for preparing their detailed report, and H.E. Ambassador Ángel Villalobos 
Rodríguez , Ambassador and Permanent Representative of Mexico to the WTO, for the clear overview 
of both reports under discussion.  
4.430.   At the outset, Brunei Darussalam associates itself w ith the statement delivered by Malaysia 
on behalf of ASEAN.  
4.431.   Indonesia has achieved much during the period under review, which has led to a stea dy GDP 
growth of 5.1% from 2013 –2019, a significant decrease in inflation to 3% by 2019, and the lowerin g 
of unemployment rates to 5% also by 2019.  
4.432.   As has been mentioned by others, Indonesia is “the world's fourth most populous nation, the 
world's 10th largest economy in terms of purchasing power parity, an emerging lower middle -income 
country, and the larg est economy in Southeast Asia”. But for Brunei Darussalam, we know Indonesia 
as a close neighbour and friend.  
4.433.   Together, we have much in common from shared elements of our culture, language and 
history. We are also members of many of the same organizations  such as ASEAN, the WTO, APEC, 
the OIC, NAM, the UN and many more.  
4.434.   Having shared goals and values has resulted in strong bilateral relations, and 
Brunei  Darussalam and Indonesia have maintained high levels of cooperation across various sectors 
such as tra de and investment, MSMEs, tourism, agriculture, marine and fisheries, health, labour, 
defense , transnational crimes, education, youth, culture and people -to-people contacts.  
4.435.   However, there is more potential to increase trade between our two countries as trade flow 
remains in Indonesia’s favour. Specifically, exports from Brunei to Indonesia lowered to 
BND 52.4 million in 2019, while imports from Indonesia to Brunei increased t o BND  178.3 million in 
2019. In particular , Brunei Darussalam and Indonesia have strengthened cooperation in rice 
production in the past few years and a direct shipping line was also introduced in 2019 to expedite 
shipping durations and further boost trade  between our two countries.  
4.436.   Regionally, we work closely togethe r particularly as fellow ASEAN m ember States. Indonesia 
is not just one of the founding members of ASEAN, but in fact also suggested the name for our 
organization back in 1967, and this spirit of leadership is pervasive even today as they often lead 
the way in various activities of regional integration.  
4.437.   In particular, we would like to commend Indonesia for its leadership role during the RCEP 
negotiations, resulting in the signing of the FTA las t month on the 15 November 2020. Some studies 
have shown that once  implemented, RCEP could add USD 209 billion an nually to world incomes, and 
USD 500 billion to world trade by 2030. The RCEP is therefore not just ASEAN’s biggest free trade 
agreement, but i s the biggest free trade agreement in the world, representing 30% of global GDP.  
4.438.   Brunei Darussalam shares Indonesia’s commitment to the multilateral trading system, and 
to its views on the relevance of development elements as an integral part of the intern ational trade, 
as well as of the importance of reform to maintain the WTO as the backbone of the multilateral 
trading system.  WT/TPR/M/401  • Indonesia  
 
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  4.439.   In this regard, Brunei Darussalam assures that we will continue to work together with 
Indonesia and the rest of the WTO membershi p on this, and to aid efforts to ensure a global economic 
recovery in response to the COVID -19 pandemic.  
4.440.   In closing, Brunei Darussalam would like to t ake this opportunity to recogniz e the 
contributions of Ambassador Hassan who will be leaving us soon, H.E . Miss Grata Werdaningtyas, 
H.E. Pak Syamsul Siregar and the rest of their team, as well as the Indonesian delegation appearing 
virtually from capital, and wish them all the best for a successful conclusion of this their 7th Trade 
Policy Review.  
ZIMBABWE  
4.441.   Allow me to warmly welcome the Delegation of Indonesia led by Honourable Jerry Sambuaga, 
Vice Minister of Trade, to this 7th Trade Policy Review of his country. We are grateful to the efforts 
made by Indones ia in the preparation for this R eview. We would a lso like to express our appreciat ion 
to the Secretariat and the d iscussant, H.E. Ambassador Rodríguez of Mexico, for their contribution 
to this review process.  
4.442.   Zimbabwe commends Indonesia for implementing a number of fiscal incentives, and 
demonstrated ser ious efforts in simplifying investment regulations and procedures to improve the 
investment climate, along with developing supporting infrastructure to facilitate a higher level of 
business activities.  
4.443.   Furthermore, we wish to commend Indonesia, since its last Review, for the country’s 
demonstrated commitment to the multilateral trading system. During the review period, Indonesia 
improved its WTO commitments by ratifying the Trade Facilitation Agreement (TFA), an agreement 
which was reached on its beautiful  island of Bali. At the same time, it continued to focus on 
strengthening regional economic integration ties, through the implementation, and participation in 
the negotiation, of several ASEAN agreements, including the Regional Comprehensive Economic 
Partn ership (RCEP).  
4.444.   On the bilateral trade front, Indonesia and Zimbabwe have been engaged through an 
Economic and Technical Cooperation Agreement since 1992. We established a joint commission for 
bilateral cooperation in 2015, with a view to enhancing our bilateral cooperati on.  
4.445.   Although bilateral trade is still relatively small, there is considerable potential in that area. 
Since 2012 to date, Zimbabwe has had negative trade balances with Indonesia. Although we had 
economic challenges in the recent years, major exports to In donesia have included, during that time, 
tobacco and manufactured tobacco substitutes, iron and steel, ores, slag and ash and cotton. 
Imports from Indonesia include plastics and plastic articles, animal or vegetable fats and oils; 
prepared edible fats; ani mal, rubber and articles, special woven fabrics; tufted textile fabrics; lace; 
trimmings; embroidery and man -made staple fibres.  
4.446.   The products with greatest export potential from Zimbabwe to Indonesia are 
ferro-chromium, raw cane sugar, and cotton.  
4.447.   Zimbabwe  is very keen to strengthen bilateral, commercial relations with Indones ia, and we 
are working to realiz e this vision between our two countries.  
4.448.   In conclusion, we wish Indonesia a successful Trade Policy Review.  
DOMINICAN  REPUBLIC  
4.449.   First of all , we would like to welcome the delegation of Indonesia, led by H.E. Mr Jerry 
Sambuaga, as well as other Members who are present today.  
4.450.   The Dominican Republic shares a close friendship and close trade links with Indonesia. Total 
trade between our countries has been growing in recent years. The main imports are tobacco 
products, paperboard, cellulose, furniture and furnishings, coffee and tea; the main exports are 
cocoa, cast iron products, tobacco products and medical products.  WT/TPR/M/401  • Indonesia  
 
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  4.451.   Sugar exports are of great imp ortance in the recent economic histories of both countries. It 
should be pointed out that, in 2019, trade between our countries exceeded 100 million dollars for 
the first time.  
4.452.   At this seventh Trade Policy Review, we would like to congratulate Indonesia on  its strong 
economic foundations, underpinned by an open economy that has enabled it to achieve an average 
annual GDP growth rate of 5.1% for the years reviewed, while also keeping inflation levels within 
the targets.  
4.453.   With regard to state of the Indonesian  economy, the Dominican Republic notes with 
admiration that the country's foreign exchange reserves rose overall by around 30% during the 
review period, standing at 11.5% of GDP in 2019.  
4.454.   In November 2019, the Dominican Republic hosted the ninth meeting of the Foreign Ministers 
of the Forum for East Asia -Latin America Cooperation (FEALAC), in which 32 countries, including 
Indonesia, participated. This forum was an opportunity for our country to learn more about 
Indonesia's trade and investment policies.  
4.455.   Lastly, we would like to thank Indonesia for its timely reply to the questions submitted by 
the Dominican Republic.  
NEPAL  
4.456.   First, my delegation would like to welcome the delegation of Indonesia under the leadership 
of H.E. Mr. Sambuaga, Vice Minister of Trade a nd would like to appreciate to him for the 
comprehensive opening remarks. My delegation would also like to extend sincere appreciation to 
H.E. Ambassador Rodrí guez, Permanent Representative of Mexico to the WTO , for his insightful 
remarks as a discussant i n this process. My delegation wishes to congratulate the Government of 
Indonesia for its comprehensive report and, also would like to commend the Secretariat for its 
detailed report of the trade policy of Indonesia.  
4.457.   While going through the reports, it is observed that Indonesia has taken remarkable forward 
steps to improve its trade and economic policies over the past few years.  
4.458.   Solid economic growth, sustainable development, good progress in job creation, reducing 
poverty in a single digit, significant r eduction in inequality are some of the imp ressive achievement.  
4.459.   My delegation would also like to recall the historical moment of the WTO Ministerial 
Conference held in Bali in 2013 hosted by the Government of Indonesia where the Trade Facilitation 
Agreement  was concluded. I sincerely appreciate the high level of commitment shown by Indonesia 
to the rule base d multilateral trading system.  
4.460.   Nepal and Indonesia have been enjoying cordial relationship  in various dimensions of 
socio-economic and cultural developme nt since long back in particular since the Afro -Asian 
Conference of Non -Aligned Movement in Bandung in 1955 where both attended as founding 
members of NAM.  
4.461.   Our friendship has been further strengthened after establishing the diplomatic relation in 
1960.  
4.462.   Such a relationship is not limited to government to government level but widely expanded 
to business to business as well as people to people level in all aspects of human life.   
4.463.   Nepal and Indonesia have been bound by commonality of culture and shared valu es. The 
bilateral relations are marked by strong friendship, goodwill and understanding between the two 
countries.  
4.464.   Nepal and Indonesia have been very cooperative and supportive to each other in regional 
and international forums.  WT/TPR/M/401  • Indonesia  
 
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  4.465.   Indonesia is one of the m ajor trade partners of Nepal particularly in importing goods from 
abroad where Indonesia is the third largest exporter of goods in Nepal.  
4.466.   Based on the preliminary data available, Nepal imported various goods from Indonesia worth 
of 29.3 billion Nepali rup ees in the year 2019. However, Nepal exported to Indonesia worth of only 
130 million Nepali rupees in the same year.  
4.467.   This shows a huge trade gap between Nepal and Indonesia. This also indicates an availability 
of further opportunity to collaborate and wor k together both in trade and investment areas for our 
mutual benefit.  
4.468.   Nepal wishes to constructively engage to continue our partnership focusing on reducing the 
existing trade gap between us and strengthening our relation further.  
4.469.   My del egation wishes for a successful T rade Policy R eview of Indonesia.  
NEW  ZEALAND  
4.470.   New Zealan d welcomes the opportunity to comment on the seventh Trade Policy Review of 
Indonesia. Since its last review in 2013, there have been significant developments in the bilateral 
relationship. Most notably, New Zealand and Indonesia’s relationship was elevate d to a 
Comprehensive Partnership in 2018. As Comprehensive Partners, New Zealand and Indonesia’s 
partnership continues to grow and strengthen in all areas of the relationship.  
4.471.   New Zealand’s trade and investment relationship with Indonesia is robust. Indone sia is 
currently New Zealand’s 15th largest trading partner. Indonesia a nd New Zealand have a total 
two-way trade of NZ$2.38 billion. In 2016 our respective leaders set the ambitious goal of reaching 
a two -way trade target of NZ$4 billion (IDR 40 trillion)  by 2024. To reach this target, Indonesia and 
New Zealand will need to work together to reduce trade barriers and focus on trade recovery. A 
critical part of this is ensuring that effective and stable regulations are adhered to in a consistent 
manner. In u nprecedented times as a result of COVID -19, it is more important than ever that we 
continue to remain committed to rules -based, free and open trade.  
4.472.   New Zealand and Indonesia have become recent signatories to the Regional Comprehensive 
Economic Partnershi p (RCEP). The successful implementation of RCEP will bring both New Zealand 
and Indonesia economic benefits.  
4.473.   New Zealand has raised questions during this review with regards to Indonesia’s agricultural 
policies. We acknowledge the steps that have been tak en by Indonesia towards improving 
agricultural trade settings and highlight the opportunity for increasing trade facilitating measures. 
We encourage Indonesia to strengthen reforms to remove barriers and to ensure that the processes 
and procedures are well -communicated, transparent and provide a commercially reliable setting for 
agricultural trade.  
4.474.   New Zealand acknowledges Indonesia’s active engagement in the WTO negotiations on 
harmful fisheries subsidies. We hope we can count on Indonesia’s ongoing and co nstructive 
participation to reach an agreement by end 2020, in accordance with the mandate set by Leaders in 
Sustainable Development Goal target 14.6. New Zealand also acknowledges the recent and 
significant steps Indonesia has taken to combat IUU within i ts EEZ. We also welcome Indonesia’s 
2019 notification of various fisheries domestic support measures under the GATT and ASCM. 
Notification of such measures makes an important contribution to increasing the overall transparency 
of fisheries support measures  globally.  
4.475.   New Zealand congratulates Indonesia on undertaking significant policy changes of its 
domestic fossil fuel subsidies. We welcome Indonesia’s commitment to increasing renewable energy 
to 23% out of its total energy mix by 2025 and 31% by 2050. New  Zealand supports Indonesia’s 
renewable energy goals and wants to help Indonesia achieve success.  
4.476.   New Zealand invites Indonesia to share its experience and information of its successful 
domestic fossil fuel subsidy reform with other WTO Members to advance  discussions at the WTO 
aimed at achieving ambitious and effective disciplines on inefficient fossil fuel subsidies that WT/TPR/M/401  • Indonesia  
 
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  encourage wasteful consumption. We encourage Indonesia to become a signatory of the renewed 
WTO Joint Ministerial Statement on Fossil F uel Subsidy Reform to be presented at the Twelfth 
Ministerial Conference. Th e Statement seeks the rationaliz ation and phase out of inefficient fossil 
fuel subsidies that encourage wasteful consumption and take fully into account the specific needs 
and cond itions of developing countries.  
OMAN  
4.477.   We offer our heartiest welcome to the distinguished delegat ion of Indonesia headed by 
H.E. the Vice Minister of Trade of Indonesia and we thank him for an excellent and comprehensive 
opening statement.  
4.478.   Indonesia is a n important Member of the WTO. The Sultanate of Oman enjoys excellent 
relations with Indonesia and both countries are members of Organization of Islamic Cooperation 
(OIC).  
4.479.   The volume of Indonesian investments registered in the Sultanate of Oman until 2 019 in 
various sectors (trade, construction, real estate, services) amounted to 1.7 million OMR 
(USD 4.4 million).  
4.480.   The volume of trade exchange between the Sultanate of Oman and Indonesia for the year 
2019 in exports was OMR 20.7 m illion (USD 53.8 million) , and in imports was OMR 54.1 million 
(USD 140.7 million). We look forward to increasing our bilateral trade relations with Indonesia.  
4.481.   Oman congratulates Indonesia on its impressive achievements. Since its previous Trade 
Policy Review and prior to the COV ID-19 pandemic, despite global challenges, Indonesia's relatively 
strong fundamentals and sound macroeconomic policy ensured solid growth and the resilience of its 
economy.  
4.482.   Indonesia has made efforts to encourage foreign direct investment by simplifying t he foreign 
direct investment system in several areas, and has brought Indonesia's foreign direct investment 
system closer to international and regional levels of openness.  
4.483.   Indonesia has also successfully followed the policy of diversification of its econom y. The 
Agriculture continues to play an important role in the economy. Fisheries' contribution to GDP 
increased slightly (2.8% in 2019), with aquaculture's importance and fish stocks on the rise. Mining 
and energy continue to make significant contributions  to the economy. Manufacturing remains an 
important activity in terms of its contribution to the economy (20.5% of GDP in 2019) and exports 
(45.8% in 2019). The growth of the services sector is contributing to increased diversification and 
broad -based grow th from 42.6% in 2013 to 46.1% in 2019.  
4.484.   The foreign trade regime of Indonesia is very liberal, open, transparent and predictable. It 
conforms fully to the principles and rules of the WTO. Indonesia made efforts to encourage FDI and 
brought Indonesia's FDI regime closer to international and regional levels of openness. More 
specifically, it included, inter alia, the opening of full foreign ownership business lines (maritime and 
fishery, energy and mineral resources, industry, public works, trade, tourism and  creative economy, 
transportation, communication and informatics, and health). In addition, it removed the need for 
specific recommendation requirements from the relevant ministries for some business lines.  
4.485.   Indonesia also made main trade facilitation devel opments by implementing 80% of its 
commitments, and several changes to intellectual property (IP) laws and regulations.  
4.486.   Indonesia is faithfully adhering to the rules and disciplines of the WTO and is abiding by its 
commitments under the multilateral trade agreements. Its policies and practices have a positive 
impact on the functioning of the multilateral tradin g system.  
4.487.   To conclude, the Sultanate of Oman wish es Indonesia a very successful Trade Policy R eview.  
  WT/TPR/M/401  • Indonesia  
 
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  5  REPLIES BY THE REPRESENTATIVE OF INDONESIA  AND ADDITIONAL COMMENTS  
Introduction  
5.1.  It gives me great pleasure to be here again in o ur House to resume Indonesia's s eventh Trade 
Policy Review meeting. I would like to start by expressing our thanks to Ambassador Aspelund as 
the Chairman of th e TPR Body, and Ambassador Rodrí guez of Mexico as our discussant, for a 
productive day -1 of Indonesia's Tr ade Policy Review two d ays ago.  I also wish to thank the WTO 
Secretariat and translators for their supports of this Review.  
5.2.  I wish to thank all Member States who have shown their great interests in Indonesia, especially 
concerning the journey Indonesia has taken during the revie w period, some achievements and 
challenges therein, and the aspirations the Government of Indonesia has in order to bring the nation 
into a better future. It should be clear to us by now that Indonesia is a "moving picture," rather than 
a "snapshot," as th is largest archipelagic country on earth is aspired to play a bigger role in the 
Global Value Chain, and therefore is willing to listen to Member States' inputs on how Indonesia may 
best achieve its aspiration.  
5.3.  As I mentioned two days ago, Indonesia received around 890 advanced questions from more 
than 30 Member States. As of today, Indonesia manages to respond to almost three fourth of those 
questions, and we will do our best to respond to the remaining ones wit hin the timeframe agreed 
upon under the prevailing rules of the WTO.  
Responses to Questions and Interventions by the Member States  
5.4.  We are pleased to note that the Member States offered positive remarks on Indonesia's solid 
growth and sustained development  during the review period. We also welcome some concerns raised 
by Members on certain Indonesia's policies and measures, as well as some points for further 
clarifications.  
5.5.  We will reflect our responses in writing as we finalized our written answers to Mem bers' 
questions. And this morning, I will focus on some issues that appealed to the attention of Members 
during our first -day meeting.  
5.6.  Some questions were raised on Indonesia's Law on the Assurance of Halal Products, particularly 
concerning the implementat ion of mandatory labeling requirements both for halal and non -halal 
products. As stated in our notification to the WTO in document G/TBT/N/IDN/123, the purpose of 
the Law is to provide halal assurance and guarantees on products consumed or used by the majo rity 
of the population.  
5.7.  According to the Law, products that are included in the compulsory halal category must be 
certified and labeled accordingly when entering or being circulated and traded in Indonesia's 
territory. Halal products that have been certifi ed in Indonesia, or by officially recognized foreign halal 
institutions under the mutual recognition scheme with the Government of Indonesia, must have a 
halal label and registration number attached to the products or their packaging. Meanwhile, for non -
halal products, there should be a picture, sign, or writing on the packaging to be noticed easily by 
Indonesian consumers that the products are not halal.  
5.8.  Significant numbers of Member States raised specific concerns on Indonesia's import licensing 
requireme nts which they claimed to be —in effect —a quantitative restriction on import of certain 
products into Indonesia. This notion is contrary to our objective regarding import licensing 
requirement, as mentioned in the Secretariat Report. The licensing is put in  place for justified 
reasons that are allowed by the prevailing WTO rules pertaining to human and plant life and safety, 
environment, moral or religious, and culture as well as national security.  
5.9.  Indonesia believes that all these licensi ng requirements ar e necessary. And in the context of 
implementing the recently -adopted Omnibus Law on Job Creation, the Government of Indonesia will 
observe how such licensing requirements meet the administration of the l aw, w hich includes the 
principle of good regulatory p ractices; service level agreement; norms, standards, procedures, and 
criteria; and digitalization of government services.  WT/TPR/M/401  • Indonesia  
 
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  5.10.   We understand that Local Content Requirement is another area of particular interest to some 
Member States. We also noted that this par ticular issue has been raised several times at the regular 
meetings of the WTO Committee on TRIMs and the Council for Trade in Goods. To us in Indonesia, 
this is about encouraging domestic products to preserve jobs and support our industries. On this 
note, we are most interested in getting inputs from other Me mbers on how we may learn from “the 
X-Country First Campaign” .  
5.11.   One Member State referred this issue to our bilateral talks, where it was noted that Indonesia 
will do a comprehensive review of the loca l content policies. But in view of the latest development 
in international trade where some Members ban the use or sales of this and that product from 
particular countries for a reason, Indonesia wishes to have an in -depth discussion in the context of 
trade and investment framework arrangement with that Member State on a without  prejudice basis. 
The point my d elegation wishes to get across is that we note and understand the concerns and 
objections, and we would like to learn from others on possible differen t routes of preserving jobs 
and supporting domestic industries at a time when others seem to do the same but in a more 
sophisticated way.  
5.12.   Indonesia would like to express its high appreciation for all the observations, comments, and 
questions from the Membe r States concerning the financial services in Indonesia. During the review 
period, Indonesia has made a series of reforms in the financial sector which includes insurance and 
reinsurance, electronic systems of data localization, as well as on fintech. We b elieve those reforms 
will ease global investors and businesses to expand their businesses in, and with, Indonesia in a 
sector we consider as a very important lubricant for the development of other sectors of our 
economy.  
5.13.   Some Members have shown specific in terests in Indonesia's export tax being imposed on palm 
oil. On this, Indonesia wishes to explain that the tax is imposed only in the event of palm oil price 
goes beyond the benchmark. This is meant to prevent domestic inflationary pressure due to the 
scarcity of domestic supply for cooking oil and biofuel.  
5.14.   Some Members also conveyed their concerns regarding Indonesia's policy on the export 
prohibition on certain products, notably on mined raw materials. The policy is adopted to conserve 
exhaustible natura l resources, and this is acknowledged as a general  exception permitted by 
Article  XX of GATT 1994.  
5.15.   We understand that there are some disciplines on the export ban to be observed. Only when 
certain conditions are met  — temporary or otherwise  — then a Membe r State could be allowed to 
prohibit the export of certain products. However, we observe that some countries have recently 
banned the export of certain products to other countries. The question we have is whether such an 
export ban is permitted under the p revailing provisions in the WTO.  
5.16.   Another perspective my d elegation wishes to bring into our discussion under this topic is 
concerning the Global Value Chain. There should be no question that in the context of playing a role 
in the Global Value Chain, one s hould not compromise the importance of observing the principles of 
sustainable development. But how about the aspiration of climbing the ladder of the value chain? 
The operationalization of the concept of the Global Value Chain should not  — at least to Ind onesia  — 
mean that a country should stay at the current, lower ladder of the chain. If you are producing raw 
materials, for example, nothing should prevent you to be aspired to process your raw materials into 
value -added intermediate goods. This is the way  LDCs and developing countries could climb up the 
Value Chain and develop further their economies based on their own factors of an endowment. 
Perhaps this is something we could discuss in another forum, not in the context of the Trade Policy 
Review, but it  is important for us to have a better understanding of this particular issue.  
5.17.   If I could touch on the next issue, this is about trade remedies. We observe that in the last 
25 years of their existence, trade remedy instruments have been used at a tremendous  growth rate, 
initiated by all countries: developed, developing, and least -developed ones. Indonesia's trade 
agenda of "keeping the economy open and  keep opening the economy”  has brought our economy 
to greater exposure to unfair practices of dumping by for eign companies and subsidization by foreign 
governments. As tariffs are lowered and foreign investment is welcomed, it becomes increasingly 
important for Indonesia to resort to the available measures under the WTO in order to counteract 
such unfair practic es. What we are seeking is to provide a level of playing field for domestic industries WT/TPR/M/401  • Indonesia  
 
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  to compete on a fairer basis. Nevertheless, going forward, Indonesia is committed to using trade 
remedies more prudently and in compliance with the WTO A nti-Dumping Agre ement, the WTO 
Agreement on Subsidies and Countervailing Measures, and the WTO Agreement on Safeguards.  
5.18.   Another area of particular interest in our Trade Policy Review is micro, small, and medium 
enterprises or MSMEs. Indonesia believes that there is no si ngle panacea, "one -fits-all" kind of 
approach when it comes to the topic of supporting MSMEs and providing the right eco -system for 
them to benefit from an increasingly globalized world. We have no common approach to MSMEs, 
whether we should look at their assets or number of employees. Clarity on this is a key  — if not "the 
key" — to develop multilateral cooperation to support MSMEs around the globe.  
5.19.   This is not to say that Indonesia has not paid special attention to our MSMEs. It is on the 
contrary. The Go vernment of Indonesia has developed some programs to allow further the 
development of our MSMEs in a faster way. In the past, our focus was mainly on the provisions of 
training, financing, and promotions to enter national, regional, and international marke ts. However, 
the COVID -19 situations have prompted the Government to provide digitalized supports and 
facilitate our MSMEs to digitalize their businesses.  
5.20.   The Government of Indonesia is now focusing on three pillars of MSMEs development. These 
pillars are improving MSMEs' capacity and competency including mobile digitalization; providing 
MSME -friendly financing institutions; and enhancing stronger coordination amongst ministries and 
agencies to establish the right eco -system for MSMEs. Under these three pil lars, we develop six 
strategies, 18 action plans, and 75 activities to support our MSMEs. This year we are targeting 2,500 
MSMEs in 18 Provinces focusing on around 20 MSME products and sectors.  
5.21.   Some Member States made interventions on the limited integrati on of our economy into the 
Regional and Global Value Chains. I think it is true in the sense that our engagement in Regional 
and Global Value Chains is dominated by a forward linkage rather than a backward linkage with 
other countries. And there are some l imitations on us to tilt the balance more toward the backward 
linkage. These limitations are in terms of capacity to process our own resources, investment in high -
tech industries including in research and development, and the number of workforces with high er 
degrees of education, to name just a few.  
5.22.   Notwithstanding, there is a sign of improvement, and this is being heightened by overall good 
macro -economic performance in recent years which have attracted foreign businesses to do business 
with and in Indones ia. This brings me to my last point that I wish to mention briefly this morning.  
5.23.   Like all the other participating countries, Indonesia cherishes the signing of the Regional 
Comprehensive Economic Partnership or RCEP Agreement on 15 November 2020. The objec tive of 
the Agreement is to establish a modern, comprehensive, high -quality, and mutually beneficial 
economic partnership that will facilitate the expansion and deepening of regional trade and 
investment and contribute to global economic growth and develop ment.  
5.24.   During the negotiation, we developed common rules that are based on what we already have 
under the existing ASEAN + One FTAs. We agreed to address the issue of "spaghetti -bowl effects" 
thus allowing exporters or producers in the region to export their products simultaneously to all 
other RCEP countries without being bothered by multiple Certificates of Origins. We synthesized 
various rules on cust oms facilitation; SPS; product specific r ules; and STRACAP  — which stands for 
standards, techni cal regulations, and conformity assessment p rocedures; an improvement on trade 
in services' commitments; on Investment; IPRs and others.  
5.25.   Indonesia regards the RCEP as a platform to deepen and expand our role in the Regional Value 
Chains. We also see the p otentials to capitalize on the spill -over effects from an FTA between RCEP 
participating countries with non -RCEP participating countries, thus bringing Indonesia deeper into 
the Global Value Chain.  
5.26.   The RCEP Agreement will enter into force on the date when  the agreed threshold is met. Such 
threshold is six ASEAN Member States and three ASEAN partners notify the ASEAN Secretariat on 
the completion of their respective ratification process of the Agreement. Needless to say that there 
is new enthusiasm and hope  amongst the 15 Members of RCEP that this mega -regional FTA, the 
largest one in the world, will provide Members with a speedy recovery from COVID -19, build WT/TPR/M/401  • Indonesia  
 
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  confidence in trade, become the pulling power toward the restoration of global economic growth, 
and contribute to the enhancement of the multilateral trading system under the WTO where all 
Members can fairly benefit from the system.  
Conclusion  
5.27.   To conclude, allow me to assure Members that Indonesia will continue its unwavering support 
to the multilateral trading system under the auspices of the WTO. In fact, we are a strong believer 
in the WTO and the system it establishes. We also believe that i n order for our House to remain 
credible and relevant to today's world, we need to start reforming the WTO. We can do it through a 
step-by-step approach, restoring Members' trust and confidence, not to rush and not to ado pt the 
"Christmas -Tree Approach ". On this note, Indonesia is ready to contribute to the reform process, to 
address the flip side of the existing Agreements, rules, and procedures, and to bring new hopes to 
the multilateral trading system. "It takes two to Tango," they said. But it should ta ke the whole 
Members of the WTO to bring the multilateral trading system into its new era.  
5.28.   On behalf of my country, Indonesia, allow me to once again thank all Members for your active 
and constructiv e participation in Indonesia's s eventh Trade Policy Revi ew. Our gratitude goes to the 
Chairman , Ambassador Aspelund, and our discussant, Ambassador Rodrí guez. I also wish to thank 
all the staff of the WTO Secretariat including our translators for providing support to Indonesia 's 
seventh Trade Policy Review. I wish you all a safe Merry Chris tmas and Happy Holiday Seasons. I 
thank you, Mr. Chairman.  
DISCUSSANT  
5.29.   Thank you very much, Mr Chair. Good morning, everyone.  
5.30.   We have certainly had very productive exchanges over the course of the current review. The 
intervent ions by Vice Minister Sambuaga have served to contextualize some of Indonesia's trade 
policies within its development strategy, and offered us an update on legislative changes which, with 
due implementation, are poised to address some of the concerns raise d by Members.  
5.31.   We appreciate the valuable comments made recently by the Vice Minister, as well as his 
willingness to discuss certain matters that were raised by Members.  
5.32.   Particularly noteworthy are the Vice Minister's comments on the Omnibus Law on Job Crea tion. 
It is hoped that this Law shall have a positive impact on trade with Indonesia, both directly and 
indirectly.  
5.33.   The 890 questions sent by Members and the participation of over 40 delegations in the session 
the day before yesterday reflect the importan ce of trade for many of the economies, and trade with 
Indonesia in particular.  
5.34.   The interventions by the delegations complemented and reiterated the matters raised in the 
questions received. Certain Members appreciated the timely response to their questions  prior to the 
virtual session, while others have not yet received a response and hope to do so shortly, as the Vice 
Minister today stated would be the case.  
5.35.   Based on Members' interventions, we are able to conclude that there was a consensus in 
acknowledgi ng Indonesia's remarkable macroeconomic performance during the review period: 
economic growth above 5%, low inflation, strong fiscal accounts,  and no significant external 
imbalances. This is a performance that many of our economies would certainly be right  to envy.  
5.36.   Moreover, the results in reducing unemployment and poverty and inequality levels were also 
recognized.  
5.37.   Indonesia's intensive agenda to expand its network of regional agreements was recognized, 
as were its leadership in the region to strengthen A SEAN and finalize the RCEP and its proactive role 
in the G20 and APEC. A number of Members also highlighted Indonesia's valuable work at the 
multilateral level through its participation in joint initiatives and its leadership in agriculture and 
various mat ters relating to WTO reform. Given its experience on the topic, Indonesia was invited to WT/TPR/M/401  • Indonesia  
 
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  reconsider its incorporation into the Joint Initiative on Micro, Small and Medium -Sized Enterprises 
and the Agreement on Government Procurement. We appreciate what the  Vice Minister has just 
expressed regarding Indonesia's approach to MSMEs and its current action, which reiterates how 
valuable it would be for the country to participate in the WTO Joint Initiative.  
5.38.   Continuing with positive aspects that were heard during the session, a number of Members 
acknowledged Indonesia's progress in modernizing various aspects related to trade, investment and 
the business environment. Progress was recognized in, inter alia , transparency, the fight against 
corruption, trade facilitation, the significant development of the single window, simplification of 
procedures, improvements to the standards and intellectual property systems, enhancements of 
competition and government procurement procedures, and increased flexibility for FDI in some 
sectors.  
5.39.   On the other hand, during their interventions, Members reiterated and elaborated on concerns 
relating to a number of issues that they consider to be detrimental to trade, yet that may be 
improved on. It was argued that some policies an d/or measures may limit Indonesia's ability to 
comply with its WTO commitments.  
5.40.   Based on Members' comments, it can be said that the following three issues caused most 
concern: (i) tariff increases on some agricultural and industrial products; (ii) the impl ementation 
and operation of import licensing for an increased number of tariff lines, on which we received this 
morning some comments from the Vice Minister; and (iii) the frequent use of anti -dumping and 
safeguard measures, the purpose of which, as the Vi ce Minister mentioned today, is for the country 
to defend itself from unfair competition. He also mentioned that they are willing to adopt a more 
cautious approach to these mechanisms.  
5.41.   Furthermore, reference was made to import pre -verifications, prohibitio ns and taxes on 
certain exports, and local content requirements, which was also discussed by the Vice Minister today. 
This local content is associated with both government procurement and the development of certain 
industries. Reference was also made to th e low percentage of international standards, the excessive 
involvement of state -owned enterprises in the economy, the opacity with regard to regulatory 
determinations, and the need for greater flexibility towards FDI in certain sectors. It was suggested 
that investment -related trade measures and those relating to quantitative restrictions be notified.  
5.42.   In his initial intervention and in his intervention from today, Vice Minister Sambuaga 
expressed Indonesia's willingness to address the concerns raised by Mem bers and also stated that, 
due to its content, the Omnibus Law on Job Creation is his government's direct response to the 
concerns of the private sector, both domestic and international, regarding the uncertainty and 
high-cost economy.  
5.43.   Some Members welcom ed the new legislation and expressed the need for the implementation 
of this legislation to result in an improvement in the business environment that would facilitate the 
capitalization of trade and investment opportunities in Indonesia.  
5.44.   For those of us th at have participated in this exercise, it is certainly clear that, despite the 
ongoing global economic and health crisis, Indonesia's economy during the review period has shown 
successful growth and is facing up to the challenge of its modernization, seeki ng how to optimize 
the benefits of its integration into global trade and investment flows.  
5.45.   One important aspect of this challenge is to reconcile its inward development agenda with its 
growing international commitments. The country has to move forward in i ts planned stages of 
development with the appropriate dose of internationalization based on an agreed legal framework. 
There is no single recipe for success, yet many ways of not achieving such a goal.  
5.46.   It is certain that with the pragmatism, prudence and l eadership shown by Indonesia, its 
economy shall continue to represent a success story, increasingly underpinned by its external sector.  
5.47.   Indonesia shall continue to be a valuable supporter of the multilateral trading system. It has 
been a privilege to be pa rt of Indonesia's TPR and to have gained a close -up of its successful 
development efforts, which has been rather enriching.  WT/TPR/M/401  • Indonesia  
 
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  5.48.   I wish the Vice Minister of Indonesia a safe and healthy return. I extend my congratulations 
to his delegation and wish everyone a good day. Thank you, Mr Chair. 
EUROPEAN  UNION  
5.49.   On behalf of the EU, let me first thank Indonesia for the comprehensive overview presented 
on Tuesday of the main trade and economic developments that occurred during the review period  
and for the statement this morning addressing some of the issues raised on the first day .  
5.50.   The EU welcomes the usef ul insights that this R eview has provided into Indonesia’s ongoing 
and planned policies and initiatives to foster economic growth, enhance i ts integration in to global 
supply chains and strengthen its regulatory environment.  
5.51.   The EU hopes that the comments re ceived by the WTO Members  will support Indonesia in 
further reviewing and reforming its trade policies, addressing the challenges and the s hortcomings 
highlighted by many delegations on Wednesday.  
5.52.   To this respect, the EU would like to underline that the introduction of cumbersome import 
procedures (affecting a broad number of products from food and beverage to textile and footwear, 
toys and electronics) with the stated objective of curbing imports and supporting domestic industry 
is in striking contrast with the letter and spirit of the WTO Agreement. This policy also negatively 
affects the business climate and reduces the attractiveness of I ndonesia as a destination f or foreign 
direct investments.  
5.53.   Moreover, the EU is concerned about the increasing number of safeguard measures introduced 
by Indonesia and affecting legitimate trade. Safeguard is an emergency and temporary measure to 
allow domes tic producers to adjust to the surge on trade flows. We consider that Indonesia should 
rather use country specific trade defence instruments that do not affect unnecessarily all countries 
of origin.  
5.54.   Finally, we note that a considerable number of EU (and o ther Members’) questions remain 
completely or partially unanswered by Indonesia. Together with the Government and Secretariat 
report s, the questions and replies are an essential part of th e Trade Policy Review process. While we 
understand that the time for  the answer was rather short for such a big number of questions, we 
are looking forward to receiving more detailed answers within the prescribed timeframe, including 
to the follow -up questions submitted today. In this regard, the EU would encourage Indones ia to 
consider using the alternative timelines for its next TPR, allowing for more time to reply to the 
questions as well as for providing  other Members the possibility to review the replies in advance of 
the meeting.  
5.55.   In conclusion, the EU would like to thank the delegation of Indonesia for undergoing this 
important transparency exercise in a virtual format and in spite of challenging circumstances, thus 
demonstrating Indonesia’s commitment to the WTO. We are confident that our good cooperation will 
continue and will contribute to a sustainable socio -economic recovery from the pandemic and to 
economic growth.  
UNITED  STATES  
5.56.   The United States would like to thank Indonesia’s Vice Minister of Trade , Jerry Sambuaga, the 
discussant, Ambassador Villalobos, and the rest of the dele gation for their participation in Day O ne, 
and for their efforts to prepare f or the Trade Policy Review . 
5.57.   That said, the United States notes tha t Indonesia did not submit the ir responses to the  
questions  to the TPRD until 10:00 am on  Day O ne of the TPR. As a result, Indonesia’s replies to 
advanced written questions were not released to Members until after the end of Day One’s 
discussion, significantly reducing the time allotte d to pose follow -up questions . As was noted in this 
morning’s opening statement, Indonesia has responded to only three quarters of the questions posed 
by Members, falling short of our expectations of any Member under review in the TPRB. We note 
that Indonesia is the second ASEAN membe r in short order to fail to respond to Members’ questions 
in a timely manner. We hope that there is not a false understanding within the ASEAN members that 
the TPR questions and response process is optional. Moreover, the United States would also like to WT/TPR/M/401  • Indonesia  
 
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  point out that, in many cases, Indonesia did not sufficiently respond to ques tions that had been 
submitted. We would like to highlight some of those instances, and we urge Indonesia to fully 
address these matters today and in response to  Members’ follow -up questions.  
5.58.   For example, the United States asked Indonesia to provide a timeline on when it plans to 
notify the WTO on TRIMs, pre -shipment inspection, and quantitative restrictions , which are still 
outstanding. We also asked for an explanation as to why 116  notifications notified to the WTO 
Committee on Sanitary and Phytosanitary Measures were implemented before the 60 -day period f or 
comments had closed.  
5.59.   Indonesia’s responses gave no indication of when their outstanding notifications would be 
made , nor did t hey explain why so many measures were implemented before the comment period 
had closed. We ask Indonesia to fulfill its transparency obligations in these areas , and notify future 
relevant measures and regulations in a timely manner.  
5.60.   We are concerned that m easures adopted by Indonesia to stimulate the growth of particular 
local industries risk having serious nega tive impacts in global markets.  In the steel sector, for 
example, ongoing measures are causing distortions in the global price of a key steelmaking 
ingredient , of which Indonesia is a major supplier, while artificially promoting increased Indonesian 
production and exports of steel at a time of alrea dy massive global oversupply.  
5.61.   We also note that many WTO Members, in addition to the United States, have  voiced concerns 
about Indonesia’s lo cal-content requirements (LCR s). Again, many of Indonesia’s responses to such 
questions did no t address what had been asked. We were disappointed to learn that, despite the 
broad concern among WTO Members about this top ic, Indonesia indicated that it had no plans to 
remove any of the LCR regulation s in the near future. We remind Indonesia of the long -standing and 
predominately negative evidence of the impact of LCRs on econ omic development and trade.  We 
urge the Governme nt of Indonesia to carefully examine its obligations under the WTO Agreement 
on Trade Related Investment Measures (TRIMs), reconsider the measures that have been flagged 
by Members, and promptly and fully respond to the questions posed to it during the TPR, in the 
TRIMs Committee and the  Council  for Trade in Goods.  
5.62.   We reiterate our desire to see Indonesia fully embrace trade and economic liberalization , and 
consider its pursuit of agricultural self -sufficiency and associate d import -restricting po licies. As we 
mentioned on Day O ne, such policies can have unintended and negative impacts on food security, 
nutrition, and economic opportunity, particularly for a country’ s most vulnerable populations. We 
will continue to engage Indonesian representatives, here in Geneva and in Ja karta, to resolv e our 
concerns in these areas. We look forward to close cooperation with Indonesia , bilaterally and in the 
WTO, in this regard.  
5.63.   Lastly, we call on Indonesia, once again , to no longer seek special and differential treatment 
in current and fu ture WTO negotiations, and we stress the significance this decision would have on 
ensuring that the WTO remains a viable forum for meaningful trade negotiations.  
5.64.   Again, we thank the delegation of Indonesia f or their participation in this R eview, and we  
thank the Secretariat and the d iscussant for their valuable support and insights.  
JAPAN  
5.65.   Let me first thank the delegation of Indonesia for the comprehensive overview presented last 
Wednesday of the main developments that have taken place since the last R eview, as well as for the 
statement this morning that addressed some of the issues raised by the Members on the first day.  
5.66.   Japan also appreciates this opportunity to discuss and better understand the development of 
Indonesia’s trade policy and practices since the previous TPR. Japan hopes that Indonesia will duly 
take into account the challenges highlighted by Members including Japan during this review.  
5.67.   In addition, Japan thanks Indonesia for the reply to our advanced written questions. However, 
Japan notes tha t Indonesia did not provide a sufficiently comprehensive reply to our questions, 
including those on import licensing, safeguards, and export and import prohibitions. We would 
therefore like to urge Indonesia to address these matters and provide a fully com prehensive WT/TPR/M/401  • Indonesia  
 
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  response to our questions. Especially, Japanese companies have suffered serious negative impacts 
due to Indonesia’s safeguard measure on carpets. We hope Indonesia will take this concern seriously 
and look forward to receiving Indonesia’s sincer e responses in due course.  
5.68.   Finally, Japan would like to wish Indonesia a successful TPR and extends its appreciation to 
the Indonesian delegation for their efforts to prepare for this review, especially under the current 
circumstances.  
UNITED  KINGDOM  
5.69.   The U nited Kingdom appreciates Indonesia’s active participation in their seventh Trade Policy 
Review, under the leadership of the Honorable  Jerry Sambuaga, Vice Minister of Trade and with the 
excellent support of the Mission of Indonesia. We would also like to join other delegations in stating 
our appreciation for Indonesia’s active involvement in the Joint Statement Initiatives on e -commerce 
and investment facilitation for development.  
5.70.   We thank Indonesia for the answers that they have provided to date to the  questions raised 
by the UK in advance of this TPR. We note that four of the questions that we had submitt ed have 
not yet been answered. In addition, we have submitted follow up questions on halal certificati on and 
on patents.  
5.71.   We look forward to receiving detailed answers to these questio ns within the usual timeframe.  
5.72.   The United Kingdom values our cooperation with Indonesia at the WTO, and our joint effor ts 
to enhance bilateral trade. We extend our best wishes to the Indonesian delegation for the  successful 
conclusion of this Trade Policy R eview.  
H.E.  MR. JERRY  SAMBUAGA  (HEAD  OF DELEGATION)  
5.73.   We really appreciate all the comments, inputs, and also all the expressions made by some 
delegates, particularly the United States, the United Kingdom, Japan an d the European Union. And 
we wish to fulfill all the answers in written format,  and we will comply and process as soon as 
possible,  and we are looking forward to it.  
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  6  CONCLUDING REMARKS BY THE CHAIRPERSON  
6.1.  Despite the COVID -19-related meeting constraints,  the seventh Trade Policy Review of 
Indonesia has offered us a good opportunity to deepen our understanding of recent developments 
in, and challenges to, its trade, economic, and investment policies. Since its last TPR in 2013, 
Indonesia's initiatives to m aintain its position in the Multilateral Trading System and take advantage 
of the opportunities it offers have been greatly appreciated. Indeed, the 900 advance written 
questions submitted by 32 Members and the 43 delegations that took the floor during the  first and 
second day underline the importance attached by Members to Indonesia's trade and investment 
policies and practices.  
6.2.  I would like to thank Indonesia's delegation, led by the Vice Minister of Trade at the Ministry of 
Trade, H.E. Mr. Jerry Sambuag a, for being physically present at this meeting and for its active 
participation in this exercise. Also, I would like to thank our discussant H.E. Ambassador Ángel 
Villalobos Rodríguez, Permanent Representative of Mexico to the WTO, for his insightful rema rks, 
and all the delegations that took the floor for their valuable contributions to this Review.  
6.3.  Members commended Indonesia's sound macroeconomic policies and strong fundamentals that 
continued to ensure solid economic growth despite current global challenges. Economic growth was 
largely driven by domestic demand, and ensured economic resilience, low  inflation and 
unemployment levels and enabled Indonesia to reach upper -middle income status for the first time 
in 2020. Indonesia's efforts to minimize the negative impacts of the COVID -19 pandemic, including 
on global supply chains and the free flow of e ssential goods, were acknowledged. Members welcomed 
Indonesia's trade -related structural reforms focused on improving the business environment, 
attracting foreign investment and developing infrastructure as well as efforts to improve 
transparency and addre ss corruption. Members appreciated regulatory and institutional reform 
initiatives under the Economic Policy Packages (EPP) and welcomed the recent enactment of the 
Omnibus Law on Job Creation, which drew particular attention. To benefit more fully from gl obal 
trade and value chains, Indonesia was encouraged to continue with productivity -enhancing structural 
reforms by, inter alia, further addressing transparency in policymaking, regulatory uncertainty, 
investment restrictions and the significant role of SO Es. 
6.4.  Members praised Indonesia for its active participation in the Multilateral Trading System and 
its improved commitments through the ratification of the Trade Facilitation Agreement whose full 
implementation was still under way. They commended its leadin g role in the WTO agriculture 
negotiations , as well as its active participation in the fisheries subsidies negotiations, the Joint 
Statement Initiatives on investment facilitation and e -commerce, as well as its support for the full 
implementation of the Bu enos Aires Declaration on Women's Economic Empowerment. Furthermore, 
Indonesia was encouraged to, inter alia, accede to the Government Procurement Agreement, and 
participate in the Joint Statement Initiatives on services domestic regulation and MSMEs, as w ell as 
to continue actively engaging in discussions on the future of the WTO. Indonesia's role at the G20 
and G33 groupings , as well as its ASEAN leadership were appreciated. Members also referred to 
Indonesia's increased focus on RTA initiatives including  its participation in the Regional 
Comprehensive Economic Partnership (RCEP) and its impact on the Multilateral Trading System. 
Involvement in dispute settlement cases was noted and Indonesia was, inter alia, urged to contribute 
to the smooth running of re levant procedures. Members also highlighted its WTO notification record 
and encouraged it to address certain pending notifications.  
6.5.  Members commended Indonesia's commitment to greater trade facilitation and connectivity 
through its Authorized Economic Ope rator (AEO) programme, the ASEAN Single Window, as well as 
the ASEAN Wide Self Certification scheme and the ASEAN Customs Transit Systems, both of which 
went live in 2020. The increase in the average applied MFN tariff rate, tariff peaks and complex 
tariffs were noted; at the same time, Indonesia was urged to rectify tariffs exceeding their WTO 
bound level. Persisting frequent recourse to anti -dumping and safeguard action was noted. Members 
requested Indonesia to prevent the impact of non -tariff measures on  a wide range of items of interest 
to them, including trading rights limitations, prior import verification requirements, import licences, 
local content requirements, domestic manufacturing requirements, export prohibitions, export 
restrictions, export tax es, and the use of standards and SPS measures. Members recalled that the 
adoption of TBT and SPS measures, notably relating to halal products, horticultural products and 
fresh foods, must take place in a manner that is compatible with multilateral discipli nes. Concerns 
over the potential impact of the Halal Product Assurance Law and its implementing regulation were WT/TPR/M/401  • Indonesia  
 
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  expressed and further explanations were requested. Members commended Indonesia for ratifying 
various IP treaties and strengthening its domestic IP regime.  
6.6.  Some other issues were also raised by certain Members. The recent and significant steps to 
combat IUU fishing were commended. Some Members congratulated Indonesia on policy changes to 
its domestic fossil fuel subsidies. On services, questions we re asked about the impact of new 
telecommunications regulations in improving access to infrastructure and developing 
telecommunications services. Some Members urged Indonesia to remove market access barriers 
faced by foreign financial services firms and ad dress restrictions on foreign -owned shipping and 
insurance companies in the transport of certain commodities.  
6.7.  The above are some of the key issues that had emerged in our discussion. I hope that the 
Indonesian delegation will consider and further reflect o n these issues and on the many constructive 
comments, both broad and detailed, that it has received during this Review. Members look forward 
to receiving the answers from Indonesia to any outstanding questions within one month, at which 
point the Review wi ll be successfully concluded.  
__________