China respects Indonesia's single-door export policy for strategic commodities

Jakarta (ANTARA) — China’s Ambassador to Indonesia, Wang Lutong, has stated that his side respects Indonesia’s decision to optimise the management of its resources, including by establishing a one-door export policy for strategic resources.

“We understand Indonesia’s efforts to optimise the management of strategic resources and enhance resource utilisation in support of national development,” Wang said in a special written interview with ANTARA some time ago.

Asked to comment on the establishment of PT Danantara Sumberdaya Indonesia (DSI), he expressed China’s readiness to continue strengthening policy coordination, creating a stable policy ecosystem for businesses of both countries, and expanding concrete cooperation to achieve mutual progress.

Moreover, the industries and supply chains of Indonesia and China are already highly integrated, with the two economies being complementary and enjoying a solid foundation of cooperation.

Nevertheless, Ambassador Wang expressed hope that in implementing such policies, Indonesia would take into account the interests of all stakeholders, ensure policy consistency and certainty, and strengthen research and assessment as the basis for policymaking.

“We also hope that supporting measures conducive to safeguarding the market and facilitating business development can be introduced at the appropriate time,” he added.

By maintaining market confidence in this way, an adequate business ecosystem for commercial operations and trade cooperation can be preserved, and cooperation between Indonesia and China can grow even stronger, Wang said.

The Indonesian government established DSI to manage and oversee export transactions of strategic natural resource commodities.

The company was formed against the backdrop of persistently high practices of under-invoicing and transfer pricing in a number of Indonesian export commodities over many years.

In the initial phase, running until the end of 2026, DSI will oversee export reporting for coal, palm oil, and ferroalloy (iron alloy) commodities.

DSI’s role will later be expanded according to the government’s needs and the company’s readiness.

From 1 January 2027, DSI is planned to act as a trading company that purchases commodities from exporters and sells them to international markets, with the proceeds of sales flowing back into Indonesia.