Indonesia Implements New Policy on Paid-Up Capital for Foreign Invested Enterprises
Indonesia recently issued and implemented BKPM Regulation No. 5/2025, imposing stricter rules on foreign direct investment (PMA). In terms of general investment requirements, PMA is considered a large enterprise. Unless otherwise specified, the total investment (excluding land and buildings) for each five-digit KBLI business field and project location must exceed IDR 10 billion. For PMA in the form of a limited liability company, the minimum paid-up capital is IDR 2.5 billion, and the funds must not be transferred out of the account for at least 12 months from the time of payment (except for purchasing assets, constructing buildings, and business operations, etc.). Enterprises need to
Chinese Embassy in Indonesia Holds Symposium Commemorating 80th Anniversary of Taiwan's Retrocession
Indonesia's Ministry of Energy Completes Illegal Mining Mapping, Identifies Five Major Gold Hotspots
China-Indonesia Enterprises Cooperate to Develop Bali Solar Project
Jakarta-Bandung High-Speed Railway Repayment Period May Be Extended to 60 Years
Indonesia Imposes Three-Year Safeguard Tariff on Imported Cotton Yarn
The Minister of Finance recently signed a regulation imposing a temporary safeguard tariff (BMT) on imported cotton yarn products. This policy aims to protect the domestic textile industry from the impact of import surges. The tariff applies to cotton yarn under HS codes 5204, 5205, and 5206. The rate is IDR 7,500/kg in the first year, IDR 7,388/kg in the second year, and IDR 7,277/kg in the third year. Exemptions apply to 120 developing member countries of the World Trade Organization (WTO) (subject to certificate of origin). The Indonesian Trade Safeguards Committee has found that the surge in cotton yarn imports has caused serious injury to the domestic industry.
Yonyou Appears at Indonesia DTS Digital Transformation Summit
Recently, the 41st Indonesia Digital Transformation Summit was grandly held in Jakarta. As one of the most influential digital events in Southeast Asia, this event gathered senior executives from Indonesian government agencies and over 500 large enterprises to discuss the implementation of AI, cloud computing, automation and other technologies in enterprise transformation. Yonyou Indonesia was invited to attend and delivered a keynote speech titled "Beyond Traditional ERP - AI-Driven Digital and Intelligent Transformation".
Indonesian Government Targets Textile and Steel Smuggling and Under-Invoicing
The Minister of Finance recently revealed that the government is about to launch a large-scale crackdown on smuggling rings, targeting criminal networks long involved in illegal smuggling of textiles, steel, and other goods. Speaking at the Presidential Palace, he stated that these rings use "under-invoicing" to artificially lower the true value of goods to evade customs duties. A list of involved individuals has been obtained and will be dealt with according to law at the appropriate time. In addition to smuggling issues, he emphasized a thorough investigation into internal irregularities within the Ministry of Finance, particularly regarding tax and customs officials who may be complicit in the illegal cigarette trade. He
90% of Indonesia's Downstream Projects by 2040 Will Come from Mining Sector
The Minister of Energy and Mineral Resources recently revealed that by 2040, 90% of Indonesia's downstream projects will be concentrated in the mineral and coal sectors. This plan is based on the roadmap of the Ministry of Investment and Downstreaming, aiming to increase the added value of raw materials. Nickel export value increased from USD 3.3 billion in 2017-18 to USD 34-40 billion in 2025. Indonesia holds 42% of global nickel reserves (world's largest), tin (16.3%, second largest), and bauxite (4%, sixth largest). The government will continue to implement raw material export ban policies while building a complete industrial chain (
CATL Signs Equipment Procurement Agreement for Indonesia Battery Factory
Contemporary Amperex Technology Co., Ltd. (CATL) recently announced that its subsidiaries Hong Kong Times and CATI have signed an equipment and service procurement agreement with affiliate CATIB, totaling approximately USD 131 million (IDR 3.57 trillion), to support the construction of an Indonesian battery factory. The main contents of the agreement include equipment procurement (USD 109 million) covering cell production lines, module/battery pack production lines, and supporting equipment, as well as service procurement (USD 22.11 million) covering technical services such as equipment installation, commissioning, and manpower support. Payment terms are phased: 30% advance payment for equipment, 30% after installation, 30% after acceptance, and 10% after warranty period.
Indonesian Finance Minister Cracks Down on Illegal Imports, Orders Customs to Trace Origins
The Minister of Finance recently ordered the Directorate General of Customs and Excise to take strict action against illegal imports, focusing on pursuing the individuals involved rather than merely confiscating goods. From January to September 2025, customs offices in Central Java and Yogyakarta seized illegal goods worth IDR 39.38 billion, including 1.79 million untaxed cigarettes (worth IDR 2.6 billion), a Chinese-made MK8 cigarette rolling machine (capacity 2,500 cigarettes/minute), and 4,688 boxes of alcoholic beverages. The government recovered IDR 1.33 billion in tax losses through enforcement. He stated that illegal imports not only cause revenue losses but also disrupt market
Indonesia and China Sign 9 Trade Agreements
During the 2025 Indonesia Trade Expo (TEI), Indonesia and China signed 9 trade cooperation agreements at the "Indonesia-China Strategic Trade and Investment Opportunities" business forum. 360 Chinese entrepreneurs participated in the forum. Key areas of cooperation include green energy, waste-to-energy, automotive mobility ecosystems, smart aquaculture feeding systems, and Indonesian coffee procurement. The Indonesian Ambassador to China stated that bilateral relations have been elevated to the highest level of Comprehensive Strategic Partnership. The forum aims to strengthen trade cooperation, promote investment flows, and explore new collaboration