Japan asks RI to clarify car policy<\/p>\n
TOKYO (AFP): A senior Japanese trade official urged Indonesia
\nyesterday to clarify its \"national car\" policy as Tokyo prepared
\nto file official complaints with the World Trade Organization
\n(WTO).<\/p>\n
\"We will take necessary steps under international trade rules
\nas soon as we confirm\" the Indonesian government's stance, Vice
\nInternational Trade and Industry Minister Tsutomu Makino told a
\nregular media conference.<\/p>\n
Japan says Indonesia's national car policy of granting certain
\ncars preferential tax and tariff treatment violates international
\ntrade rules.<\/p>\n
It has been waiting to confirm that 4,000 vehicles imported
\nfrom South Korea under the national car program have avoided
\ntariffs and taxes charged on other imported cars.<\/p>\n
Under Jakarta's policy, producers of a so-called national car
\nare granted exemption on import duties and luxury taxes that add
\nabout 60 percent to the price of other cars in Indonesia.<\/p>\n
PT Timor Putra Nasional -- a company controlled by President
\nSoeharto's youngest son Hutomo Mandala Putra -- was chosen as the
\nfirst national car supplier and is required to clear an eventual
\ngoal of a local content ratio exceeding 60 percent.<\/p>\n
In cooperation with Kia Motors, Timor Putra is allowed to
\nimport the cars from South Korea until its own factory becomes
\noperational in 1998.<\/p>\n
Some 4,000 cars made by South Korea's Kia Motors have arrived
\nat Tanjung Priok port in Jakarta.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/japan-asks-ri-to-clarify-car-policy-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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