REPUBLIKA.CO.ID, JAKARTA \u2013 The Association of Creative Garment\nEntrepreneurs (IPKB) has expressed concern over the trade agreement\nbetween the Indonesian government and the United States under the\nAgreement on Reciprocal Trade (ART) scheme in the textile and textile\nproducts (TPT) sector. The organisation, which represents small and\nmedium-sized garment producers, believes that the planned opening of\nimports of worn clothing has the potential to put pressure on the small\nand medium-sized enterprises (SMEs) market.<\/p>\n
IPKB Chairman Nandi Herdiaman explained that the agreement includes\ntwo memoranda of understanding regarding the purchase of cotton and worn\nclothing as part of the requirements for obtaining export quotas to the\nUnited States with a zero per cent import tariff. He said that SMEs\nsupport the import of cotton as a raw material, but oppose the import of\nused clothing.<\/p>\n
\u201cWe strongly support the import of cotton because it is needed for\nindustrial raw materials, but we strongly object to the import of used\nclothing because it will disrupt the market for our members,\u201d said Nandi\nin Jakarta, Tuesday (24\/2\/2026).<\/p>\n
He said that the government\u2019s crackdown on the sale of used clothing,\nwhich was carried out some time ago, had a positive impact on the demand\nfor local garment products. Demand began to increase, although it has\nnot fully recovered because there are still large importers who have not\nbeen targeted.<\/p>\n
\u201cWe are actually asking that the existing practice of importing used\nclothing be completely eradicated, not that imports be opened up,\u201d he\nsaid.<\/p>\n
Nandi believes that the government needs to consider the\nsustainability of SMEs, which employ millions of workers. According to\nhim, trade policies should not only accommodate the interests of large\nexporting companies, but also protect the resilience of small businesses\nin the domestic market.<\/p>\n
He also doubts the effectiveness of supervision if imports are\ncarried out in the form of scraps. Concerns have arisen because the\nBonded Zone is often highlighted as a point of leakage for illegal\nimported goods that then circulate in the market.<\/p>\n
\u201cBecause even though they say that what is being imported is scraps,\nwhat guarantee is there that what is being imported is not used\nclothing? Especially through the Bonded Zone, which has become common\nknowledge as a place for illegal imported goods to leak,\u201d he said.<\/p>\n
A similar view was expressed by the Chairman of the Indonesian\nTextile Consumers Foundation (YKTI), Rudiansyah. He said that his\norganisation supports the import of textile scraps for recycling needs,\nbut warns of the risks if the policy opens access to used clothing.<\/p>\n
\u201cAs a party that protects consumers, we do not want the market to be\nfilled with used clothes with various risks and consequences,\u201d said\nRudiansyah.<\/p>\n
According to him, the practice of importing used clothing has been\ngoing on for more than 15 years and has not been fully controlled, even\nthough there is already a ban. Therefore, the concerns of industry\nplayers and consumers are considered reasonable, especially because the\nexplanation regarding the type of imported goods still raises\ndoubts.<\/p>\n
Rudiansyah also highlighted the use of the term \u201cworn clothing\u201d in\nthe planned import, which, according to customs classification, is\ndifferent from textile scraps. Referring to the definition of the World\nCustoms Organization (WCO) adopted in the Indonesian Customs Tariff Book\n(BTKI), worn clothing falls under HS code 6309, while textile scraps or\nrags are under HS code 6310.<\/p>\n
\u201cIf what is being imported is worn clothing, then it is clear that\nthe goods are used clothing,\u201d he said.<\/p>\n
Industry and consumer groups hope that the government will clarify\nthe policy and strengthen supervision so as not to create new pressure\non the domestic market. Certainty of regulation is considered important\nto maintain the sustainability of SMEs while also protecting\nconsumers.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/indonesia-us-trade-agreement-triggers-concerns-in-small-textile-industry-1771974063", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }