G/SG/N/8/IDN/24/Suppl.1  
G/SG/N/10/IDN/24/Suppl.2  
 
12 August 2022  
(22-6187) Page: 1/7 
Committee on Safeguards  Original: English  
 
NOTIFICATION UNDER ARTICLE 12.1(B) OF THE AGREEMENT ON  
SAFEGUARDS ON FINDING A SERIOUS INJURY OR THREAT  
THEREOF CAUSED BY INCREASED IMPORTS  
(EXTENSION OF THE EXISTING MEASURE)  
INDONESIA  
Curtains (Including Drapes), Interior Blinds, Bed Valances, and Other Furnishing Articles  
Supplement  
The following notification, dated and received on 11 August  2022, is being circulated at the request 
of the delegation of  Indonesia.  
 
_______________  
 
 
Pursuant to Article  7.2 and Article  12.1(b) of the WTO Agreement on Safeguards, The Government 
of the Republic of Indonesia, hereby notifies the Committee on Safeguards the investigation findings 
concerning the extension of a safeguard measure against the importation of Curtains (Including 
Drapes), Interior Blinds, Bed Valances, and Ot her Furnishing Articles . 
1. Evidence that the safeguard measure continues to be necessary to prevent or  remedy 
serious injury or threat thereof and that the industry concerned is adjusting  
The Government of the Republic of Indonesia  initiated an investigation  on the extension of a 
safeguard measure on 28  April 2022 ( G/SG/N/6/IDN/33/Suppl.1 - G/SG/N/14/IDN/4 ). The scope of 
the investigation was to decide whether the safeguard measure should be extended beyond 
8 November  2022.  
To determine whether the safeguard measure continues to be necessary to prevent or remedy 
serious injury or threat thereof and whether the industry is adjusting, the Investigating Authority 
(Komite Pengamanan Perdagangan Indonesia /KPPI)  undertook a comprehensive analysis of a broad 
set of d ata from multiple sources: the evidence provided by the Applicant 's member industries in 
their questionnaire replies and written submissions, the information provided by interested parties 
(users, importers, exporting producers and exporting country governments) in their written 
submissions, as well as information available to the Investigating Authority including statistical 
databases and relevant publications.  
1.1.  Economic performance of the Applicant  
To assess the economic performance of the Applicant,  the developments of imports, and other 
relevant data included in its assessment, the Investigating Authority assessed the data for the period 
2019-2021 ('the investigation period') . G/SG/N/8/IDN/24/Suppl.1 • G/SG/N/10/IDN/24/Suppl .2 
 
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  Description  Unit Year Changes  (%) Trend (%) 
2019  2020  2021  19-20 20-21 19-21 
Domestic Sales  Index  100 59.46  71.14  (40.54)  19.66  (15.65)  
Production  Index  100 60.43  63.90  (39.57)  5.74 (20.06)  
Inventory  Index  100 109.90  102.78  9.90 (6.47)  1.38 
Source:  Verification Result  
During the investigation period 2019-2021, domestic sales experienced a downward trend of 
15.65%. Along with the downward trend in domestic sales, the Applicant's production also 
experienced a downward trend of 20.06%. This is because, in 2021, the Applicant has not been able 
to increase  their production and domestic sales significantly. Meanwhile, the domestic market is still 
flooded with imported goods.  
In 2020, domestic sales decreased significantly by 40.54% compared to 2019, from 100 index points 
to 59.46 index points. In 2021, domes tic sales increased by 19.66% compared to 2020, from 59.46 
index points to 71.14 index points in the same period.  
Production experienced a significant decline in 2020 by 39.57% compared to 2019, which was 100 
index points to 60.43 index points. Then in 202 1, in line with the increase in national consumption, 
production has increased by 5.74% compared to 2020, from 60.43 index points to 63.90 index 
points.  
During the investigation period 2019 -2021, Applicant 's inventory experienced an increasing trend of 
1.38%. This is due to the downward trend in domestic sales and production. In 2020, Applicant 's 
inventory increased by 9.90% compared to 2019, from 100 index points to 109.90 index points. 
Then in 2021, Applicant 's inventory decreased by 6.47% compared to 2020, from 109.90 index 
points to 102.78 index points.  
Description  Unit Year Changes  (%) Trend (%) 
2019  2020  2021  19-20 20-21 19-21 
Production  Index  100 60.43  63.90  (39.57)  5.74 (20.06)  
Utilization 
Capacity  Index  100 60.43 63.90 (39.57) 5.74 (20.06) 
Source:  Verification Result  
The decrease in the volume of production as explained above is  a result of a decrease in utilization 
capacity with a trend of 20.06% during the investigation period 2019 -2021. Furthermore, in 2020 
the utilization ca pacity decreased significantly by 39.57% compared to 2019, from 100 index points 
to 60.43 index points. In 2021 the utilization capacity increase slightly by (konsisten dengan 
notifikasi lain) of 5.74% compared to 2020, from 60.43 index points to 63.90 ind ex points.  
Description  Unit Year Changes  (%) Trend (%) 
2019  2020  2021  19-20 20-21 19-21 
Production  Index  100 60.43  63.90  (39.57)  5.74 (20.06)  
Employment  Index  100 81.57  84.34  (18.43)  3.40 (8.16)  
Profit/Loss  Index  (100) (146.82 ) (120.60 )  46.82  (17.86)   9.82  
Productivity  Index  100 74.09  75.77  (25.91)  2.27 (12.95)  
Source:  Verification Result  
During the investigation period 2019 -2021, the Applicant 's employment decreased with a trend of 
8.16%. In 2020, employment decreased by 18.43% compared to 2019, from 100 index points to 
81.57 index points. In the same year, the Applicant made efficiency efforts by reducing the number G/SG/N/8/IDN/24/Suppl.1 • G/SG/N/10/IDN/24/Suppl .2 
 
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  of employees, because the Ap plicant was still experiencing financial losses. Furthermore, in 2021, 
the number of employees increased by 3.40% compared to 2020, from 81.57 index points to 84.34 
index points. This is due to an increase in the Applicant's production by 5.74% in the same  year. 
During the investigation period 2019 -2021, the productivity of the Applicant experienced a 
downward trend of 12.95%. This was due to  the decline in the trend of production volume which 
was greater than the decline in the trend of employment, which were 20.06% and 8.16%, 
respectively. In 2020 the Applicant 's productivity  has decreased by 25.91% compared to 2019, and 
in 2021 the Applicant 's productivity has increased by 2.27% compared to 2020.  
Description  Unit Year Changes  (%) Trend (%) 
2019  2020  2021  19-20 20-21 19-21 
Domestic Sales  Index  100 59.46  71.14  (40.54)  19.66  (15.65)  
Profit/Loss  Index  (100)  (146.82 ) (120.60 )  46.82  (17.86)  9.82 
Source:  Verification Result  
During the 2019 -2021 investigation period, domestic sales experienced a downward trend of 
15.65%. In 2020, domestic sales decreased by 40.54% compared to 2019, from 100 index points 
to 59.46 index points. Then, in 2021, domestic sales increased by 19.66% compared to 2020. The 
increase in financial losses from (10 0) index points in 2019 to (146.82) index points in 2020 was a 
result of a decline in domestic sales. This happened because the Applicant sold their products at 
prices below production costs due to pressure on the selling prices of imported products. Then,  in 
2021 the financial loss was reduced by 17.86% compared to 2020, from (146.82) index points to 
(120.60) index points. Thus, during the 2019 -2021 investigation period, the Applicant experienced 
an increase in financial losses with a trend of 9.82%.  
Descr iption  Unit Year Changes  (%) Trend (%) 
2019  2020  2021  19-20 20-21 19-21 
National 
Consumption  Index  100 44.14  50.41  (55.86)  14.20  (29.00)  
Market Share of 
Imports  Index  100 46.81  42.67  (53.19)  (8.84)  (34.68)  
Market Share of 
Domestic 
Industries  Index  100 134.70  141.13  34.70  4.78 18.80  
Source:  Verification Result  
During the 2019 -2021 investigation period, national consumption decreased with a trend of 29.00%. 
In 2020, national consumption decreased significantly by 55.86% compared to 2019, namely from 
100 indexed points to 44.14 indexed points. In 2021, national consumption has increased by 14.20% 
compared to 2020, from 44.14 indexed points to 50.41 indexed points.  
During the investigation period 2019 -2021, the market share  of imports decreased with a trend of 
34.68%. Meanwhile, in the same period, the market share of the Applicant has increased with a 
trend of 18.80%.  
The purpose of the extension of the safeguard measure is to fulfill the Applicant's commitment to 
completin g their structural adjustment program as well as recovering the serious injury. Even though 
the trend of Applicant's market share is increasing, the Applicant is still experiencing serious injury. 
The extension of the safeguard measure is necessary so that  the Applicant can fulfill the 
commitments to complete the structural adjustment program and improve the performance of their 
industries.  G/SG/N/8/IDN/24/Suppl.1 • G/SG/N/10/IDN/24/Suppl .2 
 
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  Description  Unit Year Trend (%) 
2019  2020  2021  19-21 
Applicant 's Selling price per unit  index  100 107.85  109.85  4,81 
Import 's Price per Unit  index  53.07  87.52  105.21  40,80  
Price Undercutting  index  46.93  43.31  9.88 n/a 
Source:  Verification Result  
During the investigation period 2019 -2021, the Applicant 's selling price per unit and the import 's 
price per unit increased with a trend of 4.81% and 40.80%, respectively. During the 2019 -2021 
investigation period, there was a price undercutting where the import 's price per unit was below the 
Applicant 's selling price per unit, making it difficult for the Applica nt to increase domestic sales and 
make a profit.  
Description  Unit Year Trend (%) 
2019  2020  2021  19-21 
Applicant 's Selling price per unit  Index 100 107.85  109.85  4,81 
Applicant 's cost of production  Index 101.20  110.82  111.89  5,15 
Applicant 's profit margin  Index (1.20)  (2.97)  (2.04)  n/a 
Import 's price  Index 53.07  87.52  105.21  40,80  
Source:  Verification Result  
Based on the table above, during the investigation period 2019 -2021, price suppression occurred 
because the Applicant 's production cost per unit is always above the Applicant 's selling price per 
unit, while the highest price difference occurred in 2020, which was 2.97 index points. This causes 
the Applicant to continue to suffer financial losses.  
1.2.  Evidence that the industry concerned is adjusting  
The Applicant has fulfilled some of its structural adjustment commitment program in order to be 
able to compete again with imported goods. However, due to the large presence of imported Curtains 
(Including Drapes), Interior Blinds, Bed Valances, and Other Furnishing Articles  in the market 
causing the Applicant to not be optimal in fulfilling the structural adjustment program and causing 
delays in the recovery of the Applicant 's injury. The realization of the structural adjustment program 
that has been carri ed out by the Applicant is as follows:  
Products  Target  Realization  
Curtains (Including Drapes), Interior Blinds, Bed Valances, 
and Other Furnishing Articles  100%  43.89%  
Source:  Verification Result  
2. Information on whether there is an absolute increase in imports or an increase in  
imports relative to domestic production  
Description  Unit Year Changes  (%) Trend (%) 
2019  2020  2021  19-20 20-21 19-21 
Volume of 
Imports  Ton 2,843  587 612 (79.34)  4.10 (53.62)  
Source:  Indonesian Statistics (BPS)  G/SG/N/8/IDN/24/Suppl.1 • G/SG/N/10/IDN/24/Suppl .2 
 
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  As shown in the table above, the number of imports of the Subject Good during the investigation 
period experienced a downward trend of 53.62%. The downward trend in the volume of imports of 
the Subject Good during the 2019 -2021 period occurred due to  the decline in the volume of imports 
referred to in 2020 by 79.34%. This shows that the imposition of the definitive safeguard measure 
which has been in effect since 9 November 2019 is very effective. However, in 2021 the volume of 
imports of the Subject Good increased by 4.10% compared to 2020.  
Description  Unit Year Changes  (%) Trend (%) 
2019  2020  2021  19-20 20-21 19-21 
Volume of 
Imports  Ton 2,843  587 612 (79.34)  4.10 (53.62)  
National 
Production  Index  100 62.32  65.79  (37.68)  5.57 (18.89)  
Imports Relative 
to National 
Production  Index  100 33.16  32.69  (66.84)  (1.39)  (42.82)  
Source:  Indonesian Statistics (BPS)  
Based on the table above, import s relative to national production during the 2019 -2021 period 
experienced a downward trend of 42.82 %. The downward trend in the imports  relative to national 
production during the 2019 -2020 period occurred due to the decline in the volume of imports in 
2020 by 79.34 %, as a result of the effective imposition of the definitive safeguard measure  which 
has been in effect since 9 November 2019. In 2021 the import s relative to national production 
continue to decrease by 1.39%  compared to 2020.  
3. Precise description o f the product involved  
Curtains (Including Drapes), Interior Blinds, Bed Valances, and Other Furnishing Articles  
Harmonized System (HS.)  codes based on Indonesian Custom Tariffs Book (BTKI) Year 2022:  
6303.12.00, 6303.19.90, 6303.91.00, 6303.92.00, 6303.99 .00, 6304.19.90, 6304.91.90, and 
6304.92.00  
4. If the final measure is extended, a Member is encouraged to provide a written 
description of any part of the imported product that will no longer be subject to the 
measure  
Not applicable at this stage.  
5. Description of the proposed measure  
The proposed measure consists of a Tariff available for each HS code under BTKI 2022.  
6. Proposed date of introduction of the measure  
The proposed extension of the safeguard measure will come into effect on 9 November 2022.  
7. Expected duration of the measure  
The expected duration of the proposed extension of the safeguard measure is three years, until 
8 November  2025.  
8. Proposed date for the review  
Not Applicable.  
9. Expected timetable for progressive liberalization of the measure  
The measure will continue being progressively liberalized, at regular intervals, at the beginning of  G/SG/N/8/IDN/24/Suppl.1 • G/SG/N/10/IDN/24/Suppl .2 
 
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  each period of application is as follows:  
Period  Safeguard Duty  
1st Year (9 November 2022 - 8 November 2023)  Rp 22,717 /Kg 
2nd Year (9 November 2023 - 8 November 2024)  Rp 16,595 /Kg 
3rd Year (9 November 2024 - 8 November 2025)  Rp 10,473 /Kg 
10. If the notification relates only to a finding of serious injury or threat thereof, and  
does not relate to a decision to apply or extend a saf eguard measure.  
Pursuant to Article 7.2 and Article 12.1(b) of the WTO Agreement on Safeguards, The Government 
of the Republic of Indonesia, hereby notifies on the investigation findings concerning the extension 
of safeguard measures against the importatio n of Curtains (Including Drapes), Interior Blinds, Bed 
Valances, and Other Furnishing Articles . This notification is only made for the findings of the 
investigation. Once the decision to extend the safeguard measure is made, it will be notified under 
Article 12.1(c) of the Agreement on Safeguards.  
11. Information relating to the extension of a safeguard measure  
11.1.  Evidence that the industry concerned is adjusting and that the safeguard measure 
continues to be necessary to prevent or remedy serious injury.  
Although the definitive safeguard measure has been imposed on the Subject Good, the fact is that 
the imports are still increasing in absolute terms in 2021 and the volume of imports will increase 
significantly if the safeguard measure is not extended.  
In addition, the Applicant 's performance data shows a serious injury as evidenced by a downward 
trend in several performance indicators of the Applicant, such as production, domestic sales, 
productivity, utilization capacity, and employment, as well as an inc rease in inventories and financial 
injury. If the safeguard measure is not extended, the Applicant's serious injury will continue to occur 
and may even lead to bankruptcy. There is a causal link between the serious injury suffered by the 
Applicant as a res ult of the increase in the number of imports of the Subject Good and not caused 
by other factors.  
The Applicant has completed some of the structural adjustment programs, however, the Applicant 
still needs additional time to complete the programs. If the sa feguard measure is not extended, the 
Applicant will not be able to complete the structural adjustment program and will experience 
difficulties again in competing with imported goods.  
11.2.  Reference to the WTO document that notified the initial application of th e measure.  
Pursuant to Article 12.4 of the WTO Agreement on Safeguards, on 13  November  2019 The 
Government of the Republic of Indonesia  notified the Committee on Safeguards regarding the 
imposition of a provisional safeguard measure on the imports of Curta ins (Including Drapes), Interior 
Blinds, Bed Valances, and Other Furnishing Articles  on 9 November  2019 (G/SG/N/7/IDN/4/Suppl.1  
- G/SG/N/11/IDN/20/Suppl.1).  
Pursuant to Article 12.1(c) of the WTO Agreement on Safeguards, on 3  June 2020 The Government 
of the Republic of Indonesia  notified the Committee on Safeguards regarding the decision to impose 
a safeguard measure on the imports of Curtains (Including Drapes), Interior Blinds, Bed Valances, 
and Other Furnishing Articles  on 27  May 2020 (G/SG/N/10/IDN/24/S uppl.1  - 
G/SG/N/11/IDN/20/Suppl.2).  
11.3.  Duration of the measure from initial application till the date at which it will be 
extended  
The duration of the provisional safeguard measure was 200 days from 9 November 2019 until 
26 May 2020 and the initial definitive safeguard measure was imposed from 27  May 2020 until 
8 November  2022. The extension of the safeguard measure is proposed to be imposed for 3 years 
until 8  November  2025.  G/SG/N/8/IDN/24/Suppl.1 • G/SG/N/10/IDN/24/Suppl .2 
 
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  11.4.  Precise description of the measure in place prior to the date of extension  
The original measure was notified on 3  June 2020 (G/SG/N/10/IDN/24/Suppl.1  - 
G/SG/N/11/IDN/20/Suppl.2).  
12. Information relating to exporting members  
12.1.  The major exporting Members of imports of the product involved  
The main exporting countries of the product con cerned are: People's Republic of China, India, Poland, 
and Chinese Taipei.  
12.2.  If there are any exporting Members to which the measure does not apply for any 
reason other than the application of Article 9.1, the names of such exporting 
Members and reasons for  non-application of the measure  
Not applicable  
13. Invitation of Consultations  
Members who have a substantial interest in the Subject Goods shall submit a written request of 
consultation within a period of 7 days from the date of circulation of this notificati on. All written 
requests must be sent both in a written letter and in electronic format and must indicate the name, 
address, e -mail address, phone, and fax number of the Members.  
In accordance with Article 12.3 WTO Agreement on Safeguard, the Government of the Republic of 
Indonesia is open for consultation in order to provide opportunities for those Members, consultation 
is scheduled to be held no later than 2 September 2022.  
The contact information for correspondence is:  
DIRECTORATE OF WORLD T RADE ORGANIZATION NEGOTIATIONS , MINISTRY OF TRADE  
Jl. M.I. Ridwan Rais No.5, Building 2, 9th floor, Jakarta 10110  
Phone: (62 -21) 3840139  
Fax: (62 -21) 3840139  
E-mail: dit.multilateral.ppi @kemendag.go.id  
14. Members are encouraged to attach, in an electronic form, publicly available 
document(s) containing the relevant decision(s) made by the competent authority  
The non -confidential version of the Final Report of this investigation, can be found on the website of 
the Indonesian Safeguard Committee: www.kppi.kemendag.go.id  
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