G/SG/N/6/IDN/22/Suppl.2  
G/SG/N/14/IDN/2  
 
20 January 2017  
(17-0390) Page: 1/2 
Committee on Safeguards  Original: English  
 
NOTIFICATION ON INIT IATION OF INVESTIGAT ION PURSUANT  
TO ARTICLE 7.2 AND A RTICLE 12.1(A) REGAR DING  
THE EXTENSION OF A SAFEGUARD MEASURE  
INDONESIA  
(Flat-Rolled Product Of Iron Or Non -Alloy Steel)  
The following communication, dated 19 January 2017,  is being circulated at the request of the 
Delegation of Indonesia.  
 
_______________  
 
 
Pursuant to Article 7.2 and Article 12.1(a) of the WTO Agreement on Safeguards, the Republic of 
Indonesia hereby wishes to notify the Committee on Safeguards that the Indonesian S afeguards 
Committee (Komite Pengamanan Perdagangan Indonesia/KPPI) hereinafter referred as "the 
Investigating Authority" has initiated an investigation on the extension of Safeguard Measure on 
importation of Flat -Rolled Product of Iron or Non -Alloy Steel u nder HS. Code ex. 7210.61.11.00  
 
1. The date of initiation  
 
The investigation regarding the extension of the safeguards measure was initiated on 
18 January  2017.  
 
2. Subject good  
 
Flat-Rolled Product of Iron or Non -Alloy Steel under HS. Code ex. 7210.61.11 .00. 
 
3. Reference to the WTO document containing the most recent Article 12.1(c) 
notification  
 
The WTO Document containing the most recent Article 12.1(c) notification is 
G/SG/N/8/IDN/16/Suppl.1 -G/SG/N/10/IDN/16/Suppl.1 -G/SG/N/11/IDN/14, dated 28 July 201 4  
 
4. Reasons for initiation of investigation procedure  
 
The extension of safeguard measures on the importation of Flat -Rolled Product of Iron or 
Non-Alloy Steel under HS. Code ex. 7210.61.11.00 has been requested by PT. NS BlueScope 
Indonesia and PT. Sun rise Steel hereinafter referred as "the Applicant".  
 
The application was based on the claim that the plan on the industry structural adjustment has not 
been fully accomplished as a result of the lower price of the imported goods compared to the 
domestic pr ice, which leads to the decreasing trend on the applicant market share. Therefore, the 
safeguard measures remained necessary to prevent domestic industry from the serious injury.  
 
Based on data from STATISTICS INDONESIA, the volume of imported goods under tariff heading 
Ex. 7210.61.11.00 is as follows.  
 
Imports  
(MT)  2013  2014  2015  S1st 2015  S2nd 2015  S1st 2016  
303.501  201.934  56.988  28.177  28.811  47.410  G/SG/N/6/IDN/22/Suppl.2 • G/SG/N/14/IDN/2  
 
- 2 - 
 
   
The large numbers of imported goods has impacts to the applicant’s economic indicators, such as 
market share and price, as seen in the table below.  
 
Unit 2013  
(Index)  2014  
(Index)  2015  
(Index)  S1st 
2015 
(Index)  S2nd 
2015 
(Index)  S1st 
2016 
(Index)  Trend  
S1 
2015  
- 
S1 
2016  Growth  
S1 
2015 – 
S2 
2015 
(%) S2 
2015 - 
S1 
2016 
(%) 
Market 
Share  100 124 191 100 94 95 (3) (6) 1 
Price 100 110 111 100 94 87 (7) (6) (7) 
 
The applicant also stated that should the safeguard measure is to be revoked, the imports would 
increase significantly, thus the threat of serious injury to the domestic industry will return t o occur. 
During the previous few months (S1 2016), import of the subject goods tend to increase compared 
to the same period in 2015 (S1).  
 
The investigation has been initiated to determine whether the continued application of safeguard 
measure is warranted . 
 
5. Further information  
 
Those having substantial interests and wishing to be considered as interested parties in this 
investigation should submit a written request within a period of 15 days in Indonesia from the date 
of initiation, to this address:  
 
INDONESIAN SAFEGUARDS COMMITTEE  
(KOMITE PENGAMANAN PERDAGANGAN INDONESIA - KPPI)  
Jl. M.I. Ridwan Rais No.5, Building I, 5th floor, Jakarta 10110  
Telephone / Facsimile: (62 -21) 385 7758  
E-mail: alfitria.maharan i@kemendag.go.id  
 
All submissions and requests made by interested parties must be sent both in written letter and in 
electronic format, and must indicate the name, address, e -mail address, telephone and fax 
numbers of the interested party.  
 
 
__________