Aircraft Spare Parts and LPG Imports Exempt from Import Duty

Coordinating Ministry for Economic Affairs Spokesperson Haryo Limanseto expressed hope that the incentive, which eliminates import duties on aircraft spare parts and Liquified Petroleum Gas (LPG) used as raw material for the petrochemical industry, will ease cost burdens. This allows business actors to maintain their operations, improve efficiency, and remain competitive. “This policy is part of the Government’s efforts to maintain economic growth momentum by strengthening the real sector,” Haryo said in a statement in Jakarta on Saturday, 25 July 2026. The incentive is part of the Semester II 2026 Economic Stimulus Package. For industries focused on Maintenance, Repair, and Operations/Overhaul (MRO), a 0 percent import duty tariff applies to imports of goods and materials used in aircraft maintenance and repair processes. Through this incentive, company operational costs can be reduced so that domestic aircraft maintenance services become more competitive. Meanwhile, the 0 percent import duty on LPG is expected to help the petrochemical industry produce raw materials with more efficient costs. Ultimately, the benefits can also be felt by various other industries that use petrochemical products as raw materials. The policy is regulated in Minister of Finance Regulation (PMK) Number 50 of 2026 concerning the Third Amendment to PMK Number 26/PMK.010/2022. This PMK was enacted on 15 July 2026 and comes into effect 7 days after promulgation. Specifically for LPG imports as raw material for the petrochemical industry, the 0 percent import duty tariff is valid for six months through tariff posts 9845.10.00 and 9845.20.00. The provisions for implementing the import duty facility for the MRO industry are further regulated in Minister of Industry Regulation (Permenperin) Number 16 of 2026. This regulation governs the criteria and procedures for utilising fiscal incentives in the form of import duty tariff reductions granted to Aircraft Repair and Maintenance Service Industrial Companies that import special goods and/or materials used for Aircraft Repair and Maintenance Service Industrial activities. The criteria for petrochemical industry companies that can utilise the special scheme for LPG imports as raw material are regulated in Minister of Industry Decree Number 1944 of 2026. Imports of LPG with HS codes 2711.12.00 and 2711.13.00 by companies meeting these criteria obtain a 0 percent import duty facility through tariff posts 9845.10.00 and 9845.20.00. “Through production cost efficiency, industry players are expected to have greater room to invest, increase production capacity, and strengthen competitiveness,” Haryo said.