G/TFA/Q/IDN/ 3 
 
28 March  2024 
(24-2750) Page: 1/2 
Committee on Trade Facilitation  Original: English  
 
 
QUESTIONS FROM THE UNITED STATES TO INDONESIA  
REGARDING INDONESIAN REGULATION 190/PMK.04/2022  
QUESTIONS FROM THE UNITED STATES REGARDING DOCUMENT G/TFA/Q/IND/2  
The following communication, dated 27 March 2024, is being circulated at the request of the 
delegation of the United States . 
 
_________________  
 
 
1. The United States  thanks Ind onesia for its responses in G/TFA/Q/IND/2  to U.S. questions 
regarding Indonesi an regulation 190/PMK.04/2022 of 14  December 2022  (the Regulation) , entitled 
"The Transfer of Self -Consumed Goods"  which requires intangible goods be subject to a customs 
operation . 
2. In paragraph 2 of its response , Indonesia states that the Regulation applies only to legal 
entities. Please specify where in the Regulation Indonesia makes it explicit that the regulation applies 
only to legal entities and not the general public.  
3. In paragraph 3 of its response , Indone sia explains its definition of tangible and intangible 
objects. Please provide Indonesia’s laws or regulations spelling out this distinction.  
4. In paragraph 5 of its response , Indonesia states that it establishe d the Chapter 99 
classification for intangible  goods . Please provide Indonesia’s law or regulation that stipulates 
national Chapter 99 classification for intangible goods.   
5. The United States reminds Indonesia that it still needs to provide complete  responses to the 
following questions:  
a. We have resear ched the publicly available material on Indonesia 's notified single window 
and government websites and cannot locate any definition of what "self -consumed" 
means. We request that Indonesia provide the definition of self -consumed and how a 
person, and for p urposes of customs, an importer, would determine it is required to comply 
with this regulation.  
b. Further to these fundamental questions is how any importer or potential importer, would 
know it is an importer? The language of the Regulation would include any user of a smart 
phone or computer. How does any person know where this type of data, software a nd 
apps, updates, etc., is created, how it gets to them, and whether it originates outside or 
inside the territory where they reside? Additionally, downloads, apps, updates, bug -fixes 
are created globally with origins and input and collaboration of global supply chains. How 
would a person determine its origin if many developers, in different jurisdictions, including 
from LDCs, contribute to the app, update, download, software, or fix?  
c. The simple fact is that this type of data, software, whether as an operat ing system or an 
app, is everywhere and a daily part of almost every citizen 's life. Every single person that 
has a smart phone, has updates, enhancements, and bug fixes transmitted to their devices 
on a daily basis. How could a person know it is required to maintain records for each bug 
fix, update to an app, phone or laptop? How could a person know what is the origin of that 
bug fix, update, to any smart device or app?   G/TFA/Q/IDN/3  
 
- 2 - 
 
  d. Relying on a simple internet search, we found that "the number of smartphone users in  
Indonesia was estimated to reach 210.77 million users in 2021. Currently, Indonesia is 
the fourth -largest smartphone market worldwide after China, India, and the United States. 
In 2018, the subscriber count for telecommunications provider Telkomsel amount ed to 
163 million. See, https://www.statista.com/statistics/266729/smartphone -users -in-
indonesia/#:~:text=The%20number%20of%20smartphone%20users,India%20and%20
the%20United%20States.&text=In%202018%2C%20the%20subscriber%20count,Telko
msel%20amounted% 20to%20163%20million .  
e. Can Indonesia tell us how it has notified its over 210 million smart phone users that they 
are potential importers and are required to keep records for all updates, bug fixes, and 
downloads, so they may be audited by the customs authority?   
f. We note that I ndonesia notified TFA Article 7.5, customs audit, as a Category A. We would 
be interested in how Indonesia will use customs audit to enforce the regulation at issue. 
Could Indonesia provide us the legislation, regulations, procedures, and any public 
guidan ce document for customs audits in Indonesia? We would like to delve deeper into 
the document retention policy for customs audit purposes of this regulation to understand 
how Indonesia plans to subject every person potentially liable for compliance with 
regulation 190/PMK.04/2022 to a customs audit.   
g. Additionally, we note that TFA Article 3.2 on Penalty Disciplines requires that each Member 
shall ensure that penalties for a breach of a customs law, regulation, or procedural 
requirement are imposed only on p ersons responsible for the breach under its laws. We 
consider this discipline, especially relevant and instructive when examining regulation 
190/PMK.04/2022. Our previous questions are all relevant to understanding who and how 
a person will be held respons ible for complying with the Regulation at issue, and that no 
one else, whether in Indonesia, or located outside of Indonesia, will be held responsible 
for compliance by the use of penalties. As of now, based on the language of the Regulation, 
we see all sm art phone users and those that use computers will be responsible to comply 
with this regulation, and potentially content creators, including app developers, but they 
cannot all be responsible at the same time, only one can be the "self -consumer" for each 
transaction as per the Regulation. However, to understand who in each transaction is the 
responsible party subject to the customs audit and ultimately a potential penalty for failure 
to comply, further clarity is necessary to understand what constitutes a t ransaction, and 
what the document retention requirements consist of for purposes of the customs audit.  
h. We would also like to understand this Regulation in light of the commitment in TFA 
Article  10.1.1 with respect to formalities and documentation requireme nts. We would 
request that Indonesia, as the only WTO Member that requires a customs procedure for 
intangible goods, share with us how this regulation comports with the objective of 
minimizing the incidence and complexity of import formalities. We would we lcome 
Indonesia sharing with us the results of such review.   
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