Workers at a fabric factory in Vietnam (Photo: VNA)Jakarta (VNA) – Made-in-Vietnam fabrics have beenexempted from new import tariffs of Indonesia, which have been imposed on sometextile products from May 2020 until November 2022.
Aside from Vietnam, other countries and territories exemptedfrom the safeguard measures include the Republic of Korea and Hong Kong for theimports of synthetic yarn and curtains, as well as India also for fabrics,according to the Indonesian Finance Ministry.
In 2019, the Indonesian government imposed temporaryadditional duties on imports of textiles and textile products up to 67.7percent.
The fresh move is a safeguard measure to protect thedomestic upstream industry from a recent surge in imports and encourage the useof domestic market products.
Previously, Moody’s Investors Service warned that the US-Chinatrade tensions could lead to an influx of Chinese yarn, fabrics, and garmentsinto Indonesia. It said, potentially disrupting the so far stable levels ofdemand and supply in Indonesia.
Moody’s explained that tariffs imposed by the US on Chinesetextile exports are at 25 percent versus the 10-15 percent that Indonesia hasimplemented./.
